The Cityo of  Flatonia  TEXAS  CITY OF FLATONIA REGULAR CITY COUNCIL MEETING Council Chambers/City Hall 125 E. South Main, Flatonia, Texas  August 8, 2023 Budget meeting 5:00 pm BUDGET WORKSHOP  Budget discussion  B1. Discuss 2023-2024 budget.  City Council Meeting 6:00 pm  AGENDA  Opening Agenda Call to Order Invocation & Pledge Citizens' Participation Police Chief Utility Director Code Enforcement City Manager Consent Agenda C1. C2. C3.  Reports  July Activity July Report July Report July Report  Consider and take appropriate action on the minutes of the July 11,2023, Consider and take appropriate action on the minutes of the July 25,2023, Consider and take appropriate action on the financial statements for July  meeting. meeting. 2023.  Discussion Agenda D1.  Discuss possible ordinance for golf carts on city streets.    Deliberation Agenda DA8.1.2023.1 DA8.1.2023.2 DA8.1.2023.3  Considera and take appropriate action on thel lease for thel United States Postal Consider and take appropriate action on approving TML health benefits for Consider and take appropriate action on the Second Quarter of2023 Hotel Occupancy Tax Expenditure Reports from Flatonia ChamberorCommerce, Consider and take appropriate action on setting dates for budget workshops. The deadline for the budget to be completed and submitted is August 29, Consider and take appropriate action on the offer to lease for oil and gas  Service. employees.  Special Projects, and EA Arnim Archives and Museum.  DA8.1.2023.4  2023.  DA8.1.2023.5 Adjournment  exploration from Rosewood Resources.  I,t the undersigned authority dol hereby certify that thel NoticeofMeeting was] posted on thel bulletin board outside the front door ofthe City Hall ofthe City ofFlatonia, Texas, ap place convenient and readily accessible tot thes general public at all times and said Notice was] posted ont the following date and time August 4, 2023, by 5:00 p.m. and remained sO posted continuously for at least 72  hours preceding the scheduled time of said meeting.  Jackie Ott, City Secretary, City of Flatonia  NOTICE OF ASSISTANCE ATTHE PUBLIC MEETING  EXECUTIVE SESSION STATEMENT The City Council reserves the right to adjourn into  The Flatonia City Hall is wheelchair accessible. executive session at any time during the course of this Access to the building is available at the primary meeting to discuss any of the matters listed above, as entrance facing Main Street. Persons with disabilities authorized by the Texas Government Code, Section who plan to attend this meeting and who may need 551.071 (Consultations with Attorney), 551.072 auxiliary aids or services such as interpreters for (Deliberations about Real Property), 551.073 persons who are deaf or hearing impaired, readers, or (Deliberations Regarding Gifts and Donations), 551.074 large print arer requested to contact the City Secretary's (Personnel Matters), 551.076 (Deliberations Regarding Office at 361-865-3548 or by FAX 361-865-2817 at Security Devices or Security Audits), 551.086 (Certain least two working days prior to the meeting sO that Public Power Utilities: Competitivel Matters) and 551.087  appropriate arrangements can be made.  (Deliberation Regarding Economic Development  Negotiations).  Agenda Removal Notice  This Public Notice was removed from the official posting board at the Flatonia City Hall on thei following date and time:  By:  Jackie Ott, City Secretary, City of Flatonia    ROLICE OE  FLATONIA POLICE DBPARIMENT 205 E. South Main St. Flatonia, TX78941 Office: 361-865-3337 Fax: 361-865-3039  July 2023 Monthly Report  To: From: Subject: Calls for Service:  Flatonia City Council Flatonia Police Department July Monthly Report  There were 632 calls for service this month. Offense / Incident Report Activity:  On. July 2, 2023, Fayette County Dispatch advised all on-duty officers that there was report of vehicle traveling west on IH-10 that was unable to maintain its lane as it traveled. The vehicle then exited into Flatonia city limits and was at a local business. Officer Amos located the vehicle and began to speak with the occupant. While speaking with the individual, Officer Amos recognized several indications of intoxication. Upon searching the individual's vehicle, with their consent, Officer Amos located an open alcoholic beverage. The individual was arrested for Public Intoxication and transported to Fayette On. July 3, 2023, officers responded to a report of "shots fired". After arriving at the residence officers found that the residence had been struck several times by gun fire. The initial and time-sensitive investigation was completed the morning of the incident, and this case remains open and active as additional investigation continues. As this is an ongoing investigation, there is no further information to publish at this time. The Flatonia Police Department determined through initial investigation that the incident was isolated, and the citizens of Flatonia were noti in ongoing danger. On July 13, 2023, Officer W. Kalina observed a vehicle traveling on a public roadway in Flatonia. Officer Kalina had prior knowledge that the individual associated with the vehicle had a warrant. Officer Kalina conducted at traffic stop on the vehicle and approached the driver. The driver oft the vehicle was int fact the individual who had an active warrant. Officer Kalina placed the individual in custody and transported them to Fayette County Jail for the probation violation warrant. OnJ July 21, 2023, Chief L. Dick, Officer T. Roggenkamp, and Investigator G. Titus responded to a medical call at al local business to assist Fayette County EMS. As officers began to exit the business once the EMS call was concluded, they recognized the strong and distinctive odor of marijuana coming from a vehicle in the parking lot. Officers approached the vehicle and contacted the driver and passenger. A probable cause search oft the vehicle was then conducted. While searching the vehicle officers located al large bag of marijuana, narcotic tablets in an unlabeled bottle, and ai firearm. The driver was arrested for possession of marijuana, possession ofa controlled substance, and unlawfully carrying a firearm.  County Jail.    On. July 27,2 2023, Officer W. Kalina observed a vehicle speeding and conducted a traffic stop. Upon approaching the vehiçle Officer Kalina recognized the odor of marijuana coming from the vehicle. Al probable cause search of the vehicle was conducted, and Officer Kalina located marijuana and a THÇ vape pen. THCisac controlled substance treated differently than marijuana. Both occupants of the vehicle were arrested and transported to Fayette County. Jail for possession of marijuana On. July 28, Officer Amos observed a vehicle with multiple violations and conducted at traffic stop on the vehicle. Upon speaking to the occupants of the vehicle, Officer Amos recognized the odor of marijuana coming from the vehicle. A probable cause search oft the vehicle was conducted. While searching the vehicle marijuana, a marijuana product containing THC, drug paraphernalia, at firearm, and several large knives positioned throughout the vehicle were located. Allt three occupants of the vehicle were arrested for different offenses including possession of marijuana, possession of controlled Over recent months, officers have been encountering significantly more THC in bothy vape pens and cartridges and in edible form. ChiefL. Dick, Investigator G. Titus, Sgt. T. Tunis, and Officer R. Gottwald located an exceptionally large amount of THC containing products of many types at a location. These items were marked with THCI levels as high as 86-87% (Texas law permits a content no higher than 0.3%). This large number of products believed to be extremely high in THC concentration and consistent with thei items encountered on calls and traffic stops were: seized and willl be sent to the Texas DPS Lab for analysis to confirm that the actual concentrations. are as high as indicated. This is an example of proactively trying to disrupt the patterns being encountered on EMS and law enforcement calls resulting from these strong and dangerous substances.  and possession ofa controlled. substance.  substance, tampering with physical evidence, and unlawfully carrying ofaf firearm.  NOFURTHER DETAILED INFORMATION ISI PUBLISHED DUE TO ON GOING INVESTIGATION OF CASES.  Arrests and Pending Charges  There were 10 (ten) direct custody arrests for the month of July.  Traffic Contacts:  All Flatonia Police Officers, including command staff, have conducted traffic control throughout the city and specifiçally in the areas oft town that complaints have been received related to speeding and stop sign violations. Flatonia officers will continue to conduct stationary: and mobile radar and observe traffic at intersections to address the traffic concerns.  In-Service Training:  On. July 9, 2023, through. July 14, 2023, Chief L. Dick attended a mandatory and biannual TCOLE Texas Police Chiefleadership Training. This 40-hour training introduced legislative updates, discussed dynamics and fundamentals of police departments, On July 14, 2023, Investigator G. Titus completed training for body worn cameras. This course discusses important topics such as legal considerations, 1st Amendment rights, reasonable expectation of privacy, control and access to the video, and On. July 20, 2023, Chief L. Dick and Sergeant T. Tunis trained Investigator G. Titus and Officer R. Gottwald in the use of spike strips. Chief Dick and Sgt. Tunis discussed the various techniques to deploy spike strips, the hazards associated with deploying spike stripes, and the importance understanding when spike strips are appropriate in a given situation. Flatonia Police Department officerscontinuously: strive to participate in different training provided every month. Continuous  and various other command staff information and updates.  policy and tactical considerations.    July TYPE Agency Assist Accidents Alarm Calls Animal Complaints Citizen Assist Civil Matter Close Patrol Funeral Escort Ministerial Voucher Motorist Assist Noise Complaint Open Door School Patro1/Security 57 Suspicious Vehicle Suspicious Person Traffic Hazard Transient Call Walk In Disturbance Welfare Check Traffic Stops Incident Reports Offense Reports Supplemental Reports Follow Ups Scam Traffic Control Other TOTAL  # 13 6 3 3 4 1 312 4 0 6 2 2 1 1 2 2 1 2 3 135 6 19 4 2 1 32 8 632  Flatonia Police Department    July 2023  7/3  Install rewound motor on aerator base @ sewer plant, wire in, put on line. Pull pump in lift station #1, remove obstruction, repair damaged wiring, reinstall pump. Startgathering: system data for new lead & copper rules due October 2024.  7/5  Paint meter cabinet at Balcones Lead & copper project Spray weeds around pole pile  7/6  Hook up temporary electric service on S Middle  Re-stock trucks Lead & copper project Trim limbs in Engle Lead & copper project Chlorine issues @ well #9  7/7  7/8-9 7/10  Babysit well #9 due to chlorine issues.  Lead & copper project  Water leak @ Penn & 2nd caused by above. JD: 310L blew oil cooler line, call service. Dirty water call south downtown.  Hydrovac trailer bottomed out front end & bent jack mount. Late night call for power issues on 609 around Slaughterhouse. Sidewalk construction crew hit service line on FM 609. Repaired.  7/11  Haul shredder to Shiner for repair.    310Lblew line to oil cooler, lock out machine, call RDO.  7/12  Put in culvert for customer on' W 9ths St. Puti in light @ jail after repairing damaged wiring. Dig up water line @ golf course.  Take down lights in pavilion @ McWhirter Park for replacement with LED.  7/13  310Lrepaired. Prepare lights for the pavilion. Read meters. Read meters.  7/14 7/15 7/17  Replace broken stub pole on 6ths St.  Disconnect electrical service on S. Market for upgrade. Reconnect at the end oft the day. Post Office called about AC not working. Evaporator coil iced over. Clean indoor coil,  Assist golf course with leak they could not handle.  Fix water leak @ Balcones  replace filters, and replace the belt on the blower motor. Clean out filters, tank, & nozzles on spray tractor. Locate property pegs (marks) for Central Park. Mark underground for customer on Hwy 90V W. Move 2 sewer cleanouts to clear sidewalk construction. Pull and unclog pump at lift station #1 Spraying weeds @ sewer plant  7/18  Check TXDOT conçerns of obstacles on Hwy 95 sidewalk planning. After hours call out to turn off pool pump. Ruptured chlorination line.  7/19  Repair chlorinator line @ the pool. Replace pole on FM 609 near gth.  Set meter pole for customer on Old Hallettsville Rd.    Set anchor on leaning pole on Branecky Rd.  7/20  Trip to Bastrop to pick up sample bottles for lead & copper sampling.  Finish anchor on Branecky Rd. Repair garage door @ water plant #2. Repair water leak @ park house,  Sidewalk contractor hit water line on 609 near gth. Repaired  7/21  Straighten pole on Branecky Rd.  Meet with customer about electric line placement on Hwy 90 near Old Waelder Rd.  Sewer report  Check & repair control issue @ lift station #1.  7/22 7/24  Called out to sewer blockage on Hwy 90 E, near. Jurek Ln.  Repair water leak on Mill @ 3rd. Pull and unclog pump at lift station #1 Teams meeting with Langford & Befco Sewer tap for new home on S. Middle. Meet with Befco about CDBG grant. Mark grave @ Oak Hill South. Water tapi for new home on S. Middle. Reset meter box on Mesquite.  Trim tree & cover to protect secondary1 to residence on Mill &3 3rd.  7/25  Begin rewire of pavilion lighting, hang new led fixtures.  7/26  Hang new light fixtures in McWhirter pavilion, replace broken plug covers.  Check low water pressure on E.gth. Lead & copper project.  Contractor broke out concrete for entrances to city! hall & central parkgazebo.  7/27  Trip to Shiner for chlorine for the pool.    Pull and clean aerators. Remove downed tree from W gth. Repair and re-install rules sign @ Oak Hill South Repair base on light at mausoleum @ Oak Hill South.  Lead & Copper project.  Contractor poured concrete approach for city hall & central park gazebo.  7/28  Lead & copper project Sewer blockage @ L&G trailer park Wash trucks  7/29 7/31  Check for possible damage to secondary after oversized load came through Praha.  Repair water leak on Baca Loop. Repair water leak on Hwy 90W. Trim out secondary on the west side of Tony's Trailer Park. Cut tree out of lines on Colorado near 3rd.    FLATONIA)  CODE COMPLIANCE OFFICE Jackie Ott, Code Compliance Official 125 E. South Main St. PO Box 329 Flatonia, TX78941 To: Flatonia City Council From: Jackie Ott Subject: Monthly report Date: August 2023 Compliance Report Summary  Phone: 361-865-3548 Email: rode@c.fatonia.tk.us  5 Citizen Concerns/Complaints 10 Field Investigation Spots Tall grass/weeds-9 Trash/debris-5 Buldingsystructures-o Junk vehicles-1 2ndn notice-1 Phone calls made for: Trash/debris-1  Letters sent for:  Notes:  There have been 41 files closed successfully. 1Overgrown grass/weeds 1Dangerous building 3junk vehicles  Iworked with a property owner to have a dilapidated manufactured home removed. Iworked with a property owner to have an empty lot cleared out that was severely  overgrown.    City Manager's] Report  To: Mayor Geesaman & City Council From: Sonya Bishop, City Manager Re: Monthly City Manager's Report  CC: Staff Date: 8/8/2023  Mayor and Council, 1. Planning and Zoning:  a. Working on the tiny home ordinance and present it at the next meeting. b. The meeting was cancelled due to the agenda not being posted by former staff.  2. Economic Development:  a. EDC paid to have Double L Painting and More, repair the photo pavilion and the  project is complete. It looks very nice! b. The next EDC meeting is August 17th.  Code Enforcement:  a. Jackie Ott supplied a report.  Road Construction:  a. TxDOT continues to work on the sidewalk project. b. Jackie and I plan on meeting with the engineer soon in Yoakum.  Utility Projects:  a. The GLO CDBG MIT SUP (22-119-001-D359 grant for the sewer is moving along and  there is nothing new to report.  Parks and Pool:  a. The Grifaldo house isi in the process of being torn down and moved. b. The concrete ADA compliant ramp has been successfully done at City Hall and  Memorial Park.  The next parks meeting is August 23rd.  Administration:    a. Tamela Louvier resigned her position Friday, July 28th. She worked that day, however, left early and called in sick the remainder of the week. Monday July 3151, she came in and worked two hours and turned in leave paperwork to use her vacation and sick leave. b. A Gmail account moniscbosepasmilon has been used by the previous city secretary. She refuses to give us access to this email stating it is her personal email. She stated the email was set up by Brenda Shaw (former interim City Secretary) and states C. Mayor, Jackie, and I met with producers on Friday, July 29th and toured the city. We met with most businesses, the chamber president, and residents. The producers loved the city, and they are considering bringing the show to Flatonia. Ifwe are selected the show will be called "Welcome to Flatonia". The show is aired on Peacock currently and is called  this is her email, and she will not give us access.  "Welcome to Crappie Lake".  Financial Report:  a. The certified appraised values will be delivered to the certified numbers. b. Our Voter approved tax rate is $. .28773/100 which is lower tax rate than previous years. We cannot approve al higher tax rate without having an election. Ihave been working trying to get the budget adjustments ready and calculate the corrections for human resources. This should be completed by the next city council  meeting.  This concludes the City Manager Report for submission at the August 8, 2023, City Council  meeting.    FLATONIA)  Minutes Flatonia City Council Regular Meeting July 11,2023 AGENDA  Opening Agenda  Mayor Geesaman called the meeting to order at 6:00 pm. Mayor Geesaman led the Invocation & Pledge  Citizen Participation Reports  Annie Pryor  Police Chief Utility Director Code Enforcement City Manager Consent Agenda  June Activity June Report June Report June Report  C1. Councilman Seale made a motion to approve the minutes from June 21, 2023, meeting. Councilperson Cockrell seconded the motion. None opposed. Motion  carried.  C2. Councilman Kocian made a motion to approve the financial statements for June 2023. Mayor Pro Tem Eversole seconded the motion. None opposed. Motion  carried.  Public Hearing    Public Hearing PH7.1.2023.1  Public Hearing on request for the area bounded by Walnut St/11"St/City limit from R1 to R2, based on the recommendation of the committee that  was appointed by the City Council.  Discussion:  Chief Appraiser Richard Morning discussed county tax rates and why we  will be seeing a significant increase.  Deliberation Agenda DA7.1.2023.1  Mayor Pro Tem Eversole approved the rezoning the area bounded by Walnut St/11"St/City limit from R1 to R2, as recommended by the committee that was appointed by City Council and approved by the Planning and Zoning Committee. Councilman Seale seconded the motion. Ordinance #2023.06.21.5. An Ordinance of the City of Flatonia, Texas amending Chapter 3 of the Code of Ordinances to add Article 3.09, Alternative Residential Housing types: specifying procedures, locations, and development standards for alternative housing types; prohibiting certain alternative housing products; providing for enforcement and penalties; providing for severability, repealer, and reservations. This  None opposed. Motion carried.  DA7.1.2023.2  item was tabled to discuss at a future meeting.  Adjournment  Council member Cockrell made a motion to adjourn the meeting at 6:44 p.m. Councilman Seale seconded the motion. None opposed. Motion  carried.  Signed  Dennis Geesaman  Mayor Attest Jacqueline Ott City Secretary    FLATONIA)  Minutes Flatonia City Council Special Meeting July 25, ,2023  Present:  Mayor Mayor Pro Tem Councilmembers  Dennis Geesaman Joanye Eversole Ginny Sears Allen Kocian Donna Cockrell Travis Seale  Absent:  Councilmember City Manager City Secretary Opening Agenda Call to Order  Sonya, Bishop, City Manager Jacqueline Ott, City Secretary  Mayor Geesaman called the meeting to order at 6:00 pm.  Invocation & Pledge Councilmember Kocian led the invocation and pledges.  Presentations  Mayor Geesaman swore in. Jacqueline Ott as City Secretary.  Deliberation Agenda DA5.1.2023.1  Councilmember Sears moved to remove Tamela Louvier from the bank account and add. Jacqueline Ott as City Secretary. Councilmember Cockrell  seconded the motion. None opposed. Motion carried.    DA5.1.2023.2  Councilmember Eversole made a motion to amend the authorized representative for TexPool to. Jacqueline Ott as City Secretary and remove Tamela Louvier. Councilmember Cockrell seconded the motion. None  opposed. Motion carried.  Adjournment  Councilmember Kocian called the meeting adjourned at 6:10 pm. Mayor Pro Tem  Eversole seconded the motion. None opposed. Motion carried.  Signed  Dennis Geesaman  Mayor Attest  Jacqueline Ott City Secretary      -  0 )  -  3 7    -  R r    888  0  990000 0  &0    AAa    o  0 B  488 8855  8 88 8 3 8  8S    %88  00 8 o  1 0o0 o  23 a  6 d    88888 8 0000  8 o  o  331 333  g0000 o  8" a     -  -  AA AAA  A  88    88  e mn  :    :  : pn -  a: 88    8  :o  R  88  3 333 1333 AA88  88 38    -    11:11  B  8885    60o  de o  : - E8  280mo0 N  23 8  2    88888 00 00000  8 8 e  80000 o  g d8  33 22 68 66 6e    d0 28888.    3 A  - -        2        2    2    W  22    2    a  0 a  -    s    60 88  8888        088  08888  %88            888888  8        8    o  818 888888 88818  000o 0600    de            8888    888888        6    88888888 818    88 o                8888 000o    CITY OF FLATONIA Agenda Summary Form  Agenda # DA8.1.2023.1 Summary:  Title:  Consider and take appropriate action on the lease for the United States  Postal Service.  Consider and take appropriate action on the lease for the United States Postal Service.  Option(s):  Imove to approve the lease for the United States Postal Service.  Ifyou are opposed to not 2nd or make any motion. If a motion is not made, the  item is dead.  Sears:  Seale:  Kocian: Mayor Geesaman  Cockrell:  Mayor Pro Tem Eversole:  "Negative" motions are generally not permitted. To dispose of a business item, the motion should be phrased as a positive action to take, and then, if the group desires not to take this action, the motion should be voted down. The exception to this rule is when a governing body is asked to take action ona request and wishes to create a record as to why the denial is justified.    (OJLL  February 24, 2023 CITY OF FLATONIA POBOX329 FLATONIA, TX78941-0329 SUBJECT:  FLATONIA MAIN OFFICE, 105 E: SOUTH MAIN ST, FLATONIA, CO 78941-9998  Expiration Date: 02/28/25  Dear United States Postal Service Landlord,  On behalf ofi the United States Postal Service ("Postal Service"), JLL is pleased to present the enclosed Lease Agreement for the above referenced property. Should youl have feedback to the enclosed Lease Agreement, please The following instructions have been added for your convenience to help expedite lease execution:  contact me at 404-775-5866 orj jordan.bennett@lcom.  Lease Agreement:  Sign each copy of the agreement where indicated. Date each copy of the agreement on the designated line. Real Estate Conflict of Interest (COI) Certification Form:  Complete one COI form for each per person who signs the lease. Sign and date where indicated. Complete items 1-7 where applicable, Partl, Part II, sign, and date where indicated.  IRSI Form W-9: Commission Agreement:  Sign name, print name, and date where indicated. Evidence of Title: Provide Deed/Certificate of Transfer of Title.  **PLEASE SIGN AND RETURN THIS LEASE PACKET NO LATER THAN04/10/23",  Usingt the enclosed envelope, please mail all requested forms with original signatures. Please note that postage is required. Upon acceptance and execution by the Postal Service, an original executed Lease willl be returned toy you. Notice: All owners of record are advised to read the Lease thoroughly to ensure that each party is in agreement with  the terms and conditions of this contract.  Respectfully, gdn Jordan Bennett Manager, Transactions Management Jones Lang LaSalle (JLL) 1225 17th Street, Suite 1850 Denver, CO 80202 M: (404) 7755866 jordan. bennett@amill.com CC: Sara West  Bennett    FACUITESHEADQLARTERS UNITEDSTATES POSTALS SERVICE October 1, 2022  Dear Postal Service Landlord:  The Postal Service awarded al National Contract for Real Estate Services to. Jones Lang LaSalle Americas, Inc. (JLL) in April 2017. JLL has experience and expertise in real property transactions and will be providing real estate support services, including lease management and brokerage This National Contract for our Real Estate Services Provider (RESP) entitles JLL to serve as the Tenant Representative on the behalf of the Postal Service for your leasing transaction. The Postal Service expects that you will pay a commission to the, JLL representative for leasing services pursuant to a separate agreement between you and the JLL representative. The Postal Service understands that the rental rate may reflect this commission payment, along with other The Postal Service expects that the. JLL representative will be respectful and professional in representing the Postal Service's interests and that you will work cooperatively with the. JLL representative on the leasing transaction. We appreciate your cooperation in working with the Ifyoul have any questions, please contact Tim Kastens, JLL Contract Executive at 202-719-5749  services. The contract with. JLL became effective on April 21, 2017.  market-based factors.  Postal Service's Tenant Representative. or at Timkastens@amjlcom: Sincerely yours,  Dwe hu Donald L. Mackey Director, Facilities Leasing (A)  7029ALBERT! PICK Ros SUITE 300 GREENSBORO, NC2 27409-0300 wwwU USPSCOM    3 C    UNITED STATES POSTAL SERVICEm Lease (Not to Exceed $25K) FLATONIA - MAIN OFFICE (483110-001) 105E ESOUTH MAIN ST, FLATONIA, TX 78941-9998    UNITEDSTATES POSTAL: SERVICE,  Lease  (Not to Exceed $25K)  Single-Tenant  Facility Name/Location FLATONIA- MAIN OFFICE (483110-001) 105ES SOUTHMAIN: ST, FLATONIA, TX7 78941-9998  County: Lease: QU0000769210 Fayette  This Lease, by and between CITY OF FLATONIA, ("Landlord") and the United States Postal Service ("USPS" or "Postal Service"), is made as of the Effective Date. The' "Effective Date" is the date the Postal Service executes Inc consideration oft the mutual promises set forth and for other good and valuable consideration, the sufficiency of 1. PREMISES: Landlord hereby leases to the Postal Service and the Postal Service leases from Landlord, the following premises (the' Premises") consisting of the entire building having a street address of 105 E SOUTH MAIN ST, FLATONIA, TX 78941-9998 (the' 'Building") situated upon the real property with an Assessor's Parcel Number of 27735. The Premises is located on the property described in Exhibit A attached hereto and incorporated herein (the' Property")- The Premises consists of approximately 2,025 square feet of net interior space and 12,600: square feet of exterior space consisting of platform, ramp, reserved parking and maneuvering, access areas, driveways and drive aisles and sidewalks. The reserved parking area, ifany, is shown on Exhibit B attached hereto and incorporated herein. The Premises Area is shown on Exhibit C attached hereto and Ifthe Premises is only a portion of the Property, then the Postal Service shall have the non-exclusive right in common with other tenants, ifa any, of the Building to use any and all stairways, halls, toilets and sanitary facilities, and all other general common facilities in the Building as well as appurtenances and easements benefiting the Premises and the Property, and all common sidewalks, driveways, drive lanes, entrances, exits, access lanes, roadways, service areas, parking and other common areas, wherever located in or on the Property, which the Postal Service deems necessary or appropriate to support itsi intended use of the Premises and to exercise its rights under this Lease. Landlord shall not make any changes to the size, location, nature, use or place any installations upon, the common areas immediately adjacent to the Premises, including, without limitation the sidewalks and parking areas, which impair the accessibility to or visibility of or ease of use oft the Premises by the  this Lease.  which are hereby acknowledged, the parties covenant and agree as follows:  incorporated herein.  Postal Service and/or its customers, as reasonably determined by the Postal Service.  The Landlord has supplied the following systems and equipment:  1.H Heating System 2. Air Conditioning System 3. Electrical Distribution System 4. Light Fixtures 6. Sewer or Septic System Lease (the' Maintenance Rider").  5.V Water Distribution System including hot water supply  The maintenance of these items is governed by the Maintenance Rider Landlord Responsibility attached to this 2.T TERM: The Lease shall be effective as of the Effective Date but thet term oft this Lease and the obligations of the Postal Service, including the payment of any charges or rent under this Lease, shall be for a period of 5 years commencing on March 01, 2025 ("Commencement Date") and ending on February 28, 2030, unless sooner terminated or extended as provided herein. If this Lease is extended, then such extended period shall also be  referred to herein as the' "term."  January 2020/V18  Page 1of3    UNITEDSTATES POSTAL: SERVICE.  Lease  (Not to Exceed $25K)  Single-Tenant  Facility Name/Location FLATONIA- MAIN OFFICE (483110-001) 105 E: SOUTHI MAIN ST, FLATONIA, TX78941-9998  County: QU0000769210 Fayette Lease:  3. RENT: The Postal Service will pay Landlord an annual rent of: $14,175.00 ("Rent"), payable in equal installments at the end of each calendar month during the term. Rent for a part of a month will be prorated  according to the number of days oft the month occurring during term.  Rent shall be paid to: CITY OF FLATONIA PO BOX329 FLATONIA, TX78941-0329  4. RENEWAL OPTIONS: The Postal Service shall have the right toi the following renewal options:  Annual Rent  Period  03/01/2030 02282035/915.309.00 03/01/2035 02/29/2040 $16,533.00  provided that the Postal Service send notice of exercise of each such renewal option is sent in writing, to the Landlord at least 0 days before the end of thei initial Lease term and each renewal term. All other terms and conditions of this Lease will remain the same during any renewal term unless stated otherwise herein. 5.OTHER PROVISIONS: When used herein the term' "lease" or "Lease" includes all oft the following additional provisions, modifications, riders, layouts, andlor forms which were agreed upon prior to execution and made aj part  of this Lease.  General Conditions to USPS Lease Exhibit A (Legal Description of Property) Exhibit B (Parking Area) Exhibit C (Premises Area) Utilities and Services Rider Maintenance Rider Landlord Responsibility  6.7 TERMINATION: The Postal Service shall have a right to terminate this Lease upon 30 days' prior written notice toL Landlord at any time during the term of this Lease (including any renewal periods). Upon such termination, the Postal Service's obligations under this Lease shall cease except for the restoration obligation under Section 4(b) of 7.CONFLICT OF INTEREST. To avoid actual or apparent conflicts of interest, the Postal Service requires the certification set forth on the signature page from Landlord. The Postal Service willl be relying on the accuracy oft the statements made by you in this certification. IfLandlord's certifications below are false, or Landlord breaches the certification and fails to notify the Postal Service Contracting Officer as provided below, then the Postal Service  the General Conditions to USPS Lease.  January 2020/V18  Page 2of3    UNITEDSTATES POSTAL SERVICE.  Lease  Exceed Single-Tenant  (Not to  $25K)  Facility FLATONIA- Name/Location MAIN OFFICE (483110-001) 105 E: SOUTHMAIN: ST, FLATONIA, TX7 78941-9998  County. Fayette Lease: QU0000769210  may exercise any or all oft the following remedies: (1) withhold Rent and all other payments and reimbursements due or to become due under this Lease until Landlord remedies the misrepresentation or the Postal Service waives such conflict of interest, (ii) terminate the Lease on a date set forth int the notice to Landlord without penalty, or (ii)  exercise any other remedy it may have for damages or injunctive relief.  (Conflict of Interest'ignature Page Follows]  January 2020/V18  Page: 3of3    UNITEDSTATES POSTAL. SERVICE.  Conflict of Interest'Signature Page  Facility! Name/Location FLATONIA- MAIN OFFICE (483110-001) 105 ES SOUTHI MAIN ST, FLATONIA, TX 78941-9998  County: Fayette Lease: QU0000769210  CONFLICT OF INTEREST CERTIFICATIONE BYLANDLORD  LANDLORD: Please check allt that applyi init item Abelow and complete item BI below) ifr necessary.  The undersigned certifiest tot thef Postal Service asf follows: A (Check allt thate apply) Landlordis: (Relationship). thes same house as af Postal Service employee; (v). None oft thes above. B.I Ify you checked any OfA () through (v) above complete as applicable: ()F Postal Service Employee: (Name). (i Spousev who works fort theF Postal Service: (Name). (ii) Familyr member who works fort theF Postal Service: (Name). (iv) Household! Member who works for the Postal Service: (Name).  (). AF Postal Service employee orab business organization owned or controlled by af Postal Service employee; (). Thes spouse ofa Postal Service employee ora al business organization owned or controlledb by a spouse ofa Postal Service employee; (ii). Af familyr member ofal Postal Service employee oral business organization owned ord controlled by a family member ofa Postal Service employee; (iv). Ani individual residingi int the same household asa al Postal Service employee orab business organization owned ord controlled by ani individual residingin  (Title). (Title) (Title). (Tie).  (Location). (Location). (Location). (Location).  C. lfyoul have checked"' "none oft the above" and duringt thel lease termo or anyr renewalt term, youd dof falli into any of the categories listedi linA Qt through (iv) above, you mustr notify thel Postal Service's Contracting Officeri inv writingy within 30days oft the date youf falli into any oft thec categories and shalli include ane explanation ofv which of The person signing this Lease certifies under penalty of perjury that he/she/they has full power and authority tol bind the Landlord named below.  thes above categories now applies.  LANDLORD NAME: CITYOFFLATONIA  Signature: Print Name: Title: Date:  Telephone No: Email Address:  (Official notices under thel Lease are deliveredp pursuant to Section 10(n) oft the General Conditions to USPSI Lease)  POSTAL: SERVICE: Signature: Title: Date:  Print Name: TERRENCE BRENNAN  Contracting Officer  January 2020/V18  Pagelof1    UNITEDSTATES POSTAL. SERVICE.  Exhibits  Facility Name/Location FLATONIA- MAIN OFFICE (483110-001) 1056 ES SOUTHI MAIN ST, FLATONIA, TX7 78941-9998  County: QU0000769210 Fayette Lease:  Exhibit A  [Legal Description of Property]  A parcel or tract ofl land out of one of City Park, not numbered, in the Town of Flatonia, Fayette County, Texas, described by metes and bounds as follows: BEGINNING at a point on the East side of Penn Street 501 feet South of the center of the main line tract of the Southern Pacific Railroad, said place of beginning being approximately 170 feet North from the Northwest corner of Lot 16, Block 36, in the city of Flatonia, according to the original plat of same; THENCE East parallel to and 501 feet from the center line of the Southern Pacific Railroad main track, a distance of 140 feet to a point 225 West from the East line of Market Street; THENCE South parallel with the East side of Penn Street, a distance of 901 feet tot the North side of South Main Street; THENCE West parallel with the North side of South Main Street, a distance of 1401 feet to the East side of Penn Street; THENCE North along the East side of Penn Street, a distance of 901 feet to the place of beginning; This being a rectangular tract of land 90  feet wide by 140 feet deep, containing approximately 12,600 square feet,  January 2020/V18  Pagelof3    UNITEDSTATES POSTAL: SERVICE.  Exhibits  Facility Name/Location FLATONIA- MAIN OFFICE (483110-001) 105E E: SOUTHI MAIN ST, FLATONIA, TX 78941-9998  County: QU0000769210 Fayette Lease:  Exhibit B Parking Area Intentionally Left Blank  January 2020/V18  Page 2of3    UNITEDSTATES POSTAL. SERVICE.  Exhibits  Facility Name/Location FLATONIA- MAIN OFFICE (483110-001) 105E ES SOUTHI MAIN: ST, FLATONIA, TX78941-9998  Fayette County: Lease: QU0000769210  Exhibit C Premises Area  Lease Defined Space Measurements Rentable SF: Total USPS Leased SF: Total Property Site SF: Exterior, Platform and Ramp:  Sqft 2,025 2,025 12,600 80  Area Comments  January 2020/V18  Page 3of3    UNITEDSTATES POSTAL. SERVICE.  General  Conditions to USPS Lease  Facility Name/Location FLATONIA- MAIN OFFICE (483110-001) 105ESOUTHI MAIN ST, FLATONIA, TX7 78941-9998  County: Lease: QU0000769210 Fayette  1. APPLICABLE CODES AND ORDINANCES  The Landlord shall comply with all codes and ordinances applicable to the ownership and operation of the Building and Property without regard to the Postal Service tenancy. The Postal Service agrees to comply with all applicable codes and ordinances to the operations of the Postal Service at the Premises, to the extent enforceable against the Postal Service. Nothing herein shall be construed as a waiver of the Postal Service's sovereign immunity. a. Landlord represents and warrants to the Postal Service that as of the Effective Date, () Landlord owns the Building and the Property; (ii) there are no encumbrances, liens, agreements, or covenants in effect that would materially interfere with the Postal Serviçe's ability to operate, or materially impair the Postal Service's rights or materially increase the Postal Service's obligations under this Lease; and (ii) Landlord is unaware of any existing or impending condemnation plans, proposed special assessments or other adverse physical conditions relating to the Property (provided that ift the Premises has been previously occupied by the Postal Service, then Landlord's representation regarding adverse physical conditions is limited to conditions that Landlord is responsible for under b. Ift this Lease provides for payments aggregating $10,000 or more to Landlord, claims for monies due or to become due from the Postal Service this Lease may be assigned by Landlord to al bank, trust company, or other financing institution, including any federal lending agency, and may thereafter be further assigned and reassigned to any such institution. Any assignment or reassignment must cover all amounts payable and must not be made to more than one party at at time, except that assignment or reassignment may be made to one party as agent or trustee for two or more parties participating in financing this Lease. No assignment or reassignment by Landlord will be recognized as valid and binding upon the Postal Service unless a written notice oft the assignment or reassignment, together with at true copy of the instrument of assignment and other reasonable documentation,  2. LANDLORD'S INTEREST  this Lease).  including without limitation, a W-9, is filed with: 1. the Postal Service's Contracting Officer; and 2. the surety or sureties, if any, upon any bond.  C.A Assignment by Landlord of this Lease or any interest in this Lease other than in accordance with the provisions d. Nothing contained herein shall be construed so as to prohibit transfer of ownership oft the Premises by Landlord,  of this clause willl be grounds for termination of this Lease by the Postal Service.  provided that:  1. such transfer is subject toi this Lease;  2. a copy of the recorded deed or other official transfer instrument evidencing the transfer is provided to the 3. Landlord shall cause its assignee or transferee to assume the provisions of this Lease in a writing that is delivered to the Postal Service along with a notice oft the transfer. These should be delivered to the Postal Service within 15 days of the date of the transfer or assignment. In addition, both the original Landlord and the newl landlord must execute the standard Certificate of Transfer of Title to Leased Property and Lease Assignment and Assumption form within 15 days after receipt of such form from the Postal Service. In addition  Postal Service; and  January 2020/VI8  Page 1of9    POSTAL: UNITEDSTATES SERVICE.  General Conditions to USPS Lease  Facility Name/L ocation FLATONIA- MAIN OFFICE (483110-001) 105ES SOUTHN MAIN ST, FLATONIA, TX 78941-9998  Fayette County: Lease: QU0000769210  the new landlord shall provide al Federal' W-91 form. Until the Postal Service has the required forms, the Postal Service will continue to pay rent and give all notices to Landlord and not the newl landlord. Provided Landlord's successor or assignee expressly assumes Landlord's duties and covenants under this Lease, Landlord shall ber released from all liability toward the Postal Service arising from any act, occurrence or omission of Landlord's successor or assign occurring after the transfer of Landlord's interest in this Lease. However, Landlord will not be relieved of liability fori its acts, omissions or obligations occurring or accruing up to and including the date of such transfer, and the Postal Service can pursue its remedies for default against either  the Landlord or the new landlord.  3. ASSIGNMENTISUBLEASE BY THE POSTAL SERVICE  The Postal Service may sublet all or any part of the Premises or assign this Lease only with the prior written consent of Landlord, such consent not to be unreasonably withheld, conditioned, or delayed, but the Postal Service shall not be relieved from any obligation under this Lease by reason of any subletting or assignment. If Landlord fails to respond in writing to a written request to sublease or assign from the Postal Service within thirty days after receipt by Landlord of the Postal Service's written request, Landlord shall be deemed to have consented to such  sublease or assignment, as applicable. 4. ALTERATIONS AND RESTORATION  a. The Postal Service shall have the right to make alterations, attach fixtures and erect additions, structures and install flags and flagpoles or signs in or upon the Premises ori install flags and flagpoles and collection boxes in the common areas (provided such alterations, additions, structures, or signs shall notl be detrimental to or inconsistent with the rights granted to other tenants on the Property); which fixtures, additions, structures, flags or signs so placed in, upon or attached to the Premises or common areas shall be and remain the property of the Postal Service and may be removed or otherwise disposed of by the Postal Service at any time and from time to time, including, without limitation, at the end of the term or any renewal term, subject toi the provisions of Section 4b b. Upon expiration or termination of this Lease, the Postal Service shall remove its personal property and restore the Premises to a "broom clean" condition with any systems and structures for which the Postal Service is responsible (under thel Maintenance Rider attached to this Lease) in working order. The Postal Service is not responsible to restore any condition due to reasonable and ordinary wear and tear, damages by the elements, or by circumstances over which the Postal Service has no control. The Postal Service at its sole option may, prior to: the expiration or termination of the Lease, remove any or all of the alterations or improvements or elect to abandon the alterations ori improvements in or on the Premises. If the Postal Service elects to abandon, the abandoned alterations and improvements shall become the property of the Landlord and the Postal Service shall be relieved of any liability in connection therewith; provided, however, iff following expiration oft the Lease the Postal Service enters into ar new lease agreement with Landlord to remain in the Premises, the Postal Service shall have continued responsibility for maintenance of such alterations or improvements which were installed by the Postal Service during the term oft this Lease (and not by Landlord) in accordance with the Maintenance Rider attached to  below.  this Lease.  5.[ INTENTIONALLY BLANK] 6.[ INTENTIONALLY BLANK]  7.HAZARDOUSITOXIC: CONDITIONS CLAUSE  January 2020/VI8  Page2of9    UNITEDSTATES POSTAL: SERVICE.  General Conditions to USPS Lease  Facility Name/Location FLATONIA- MAIN OFFICE (483110-001) 105ES SOUTHMAIN ST, FLATONIA, TX78941-9998  County: Fayette Lease: QU0000769210  a.D Definitions. As used in this Lease, the following terms have the following meanings:  Environmental Laws" mean all federal, state or local statutes, laws, ordinances, rules or regulations, relating to protection of human health or the environment, including but not limited to () all laws relating to the release of Hazardous Materials into the air, surface water, groundwater or land, or relating to the reporting, investigation or remediation of, licensing, manufacture, processing, distribution, use, treatment, storage, disposal, transport or handling of Hazardous Materials; (i) all laws pertaining to the protection of the health and safety of employees. "Hazardous Materials" mean () any toxic substance or hazardous waste, substance or related material, or any pollutant or contaminant that is or may hereafter be defined as or included in the definition of' "hazardous substances," "toxic substances," "hazardous materials,' " "hazardous waste" or words of similar import under any and all Environmental Laws; (ii) petroleum, radon gas, asbestos in any form thati is or could become friable, urea formaldehyde foam insulation, transformers or other equipment that contain dielectric fluid containing levels of polychlorinated biphenyls in excess of federal, state or local safety guidelines, whichever are more stringent; and (ii) any substance, gas material or chemical that is or may hereafter be defined as or included in the definition of "hazardous substances," "toxic substances," "hazardous materials," "hazardous waste" or words of similar import Environmental Contamination" means the presence of any Hazardous Materials which includes the presence of friable asbestos materials at any level, in, on, or under the Property, the Premises, common areas or the Building, at levels that require reporting to the enforcing environmental regulatory agency and/or environmental response AsDestos-Contalning Material" (ACM) means any material containing more than 1% asbestos as determined by using the method specified in 40 CFR Part 763, Subpart E, Appendix E. "Friable asbestos material" means any b.L Landlord Certification. By execution of this Lease, the Landlord certifies that, to the best ofi its knowledge and excluding any written disclosures made to the Postal Service: (i) the Property and premises are free of Environmental Contamination; (ii) there are no undisclosed underground storage tanks or associated piping on, in, or under the premises or Property; (ii) there are no ACMs, radon, lead-based paint, or lead piping or solder in drinking water systems, or in or on the Property; and (iv) Landlord has not received, nor is Landlord aware of, any notification or other communication from any party concerning any environmental condition, or violation or potential violation of any Environmental Law, regarding the Property or its vicinity. Ift the Landlord becomes aware of any such conditions, potential conditions, or violations of any Environmental Laws regarding the Property or its vicinity defined herein, subsequent to Lease commencement or any renewal thereof, Landlord must disclose the new information to the Postal Service as soon as possible, and under no circumstances later than 5 business days after  under any Environmental Laws.  action (s) under applicable Environmental Laws.  ACM that, when dry, can be crumbled, pulverized, or reduced to powder by hand pressure.  first becoming aware.  C.E Environmental Condition of the Premises.  (u Unless due to the negligence oft the Postal Service, if after the Commencement Date or any renewal thereof, Environmental Contamination is at any time identified on the Property, upon notification by the Postal Service, Landlord agrees to remediate or abate such Environmental Contamination to the extent required by Environmental Laws. Prior to performing any work, Landlord must seek and receive written approval by the Postal Service Contracting Officer of the Landlord's contractor and scope of work, and such approval will not be unreasonably withheld. The foregoing notwithstanding, the Postal Service shall pay that portion of the costs of remediation of  January 2020/V18  Page 3of9    UNITEDSTATES POSTAL: SERVICE.  General  Conditions to USPS Lease  Facility Name/Location FLATONIA- MAIN OFFICE (483110-001) 105 ES SOUTHI MAIN ST, FLATONIA, TX78941-9998  County: Fayette Lease: QU0000769210  Environmental Contamination caused directly by the negligence of the Postal Service. The parties agree that neither of the following shall constitute the negligence of the Postal Service: (a) reasonable and ordinary wear and tear and (b) damages by the elements or by circumstances over which the Postal Service has no control. (i) If the Landlord fails to diligently remove, or otherwise respond to in accordance with Environmental Law, any Environmental Contamination, the Postal Service shall have the right to perform the work, and withhold the cost plus administrative costs and/or interest, from Rent and other payments and reimbursements due or to become due or to become due to Landlord from the Postal Service or federal government. Alternatively, ifL Landlord fails to prosecute the work as required and the Postal Service determines that the Premises are untenantable or unfit for use or occupancy, the Postal Service may, with reasonable discretion, cancel this Lease in its entirety without liability. The remedies providedi in this section are non-exclusive and are in addition to any remedies available to the Postal Service under applicable law. Completion of the work by Postal Service shall not relieve Landlord of its responsibility to perform the work in the future. In addition, the Postal Service may proportionally abate the Rent and all other payments and reimbursements due or to become due under this Lease for any period the Premises, or any part thereof, are determined by the Postal Service to have been rendered untenantable or unavailable to it by reason of such condition. Ifnon-friable ACM, whether disclosed by the Landlord prior to execution of this Lease or subsequently found in or on the Property after execution of this Lease, should become friable due to any cause other than the negligence oft the Postal Service, the removal, abatement, containment, repair, remediation, replacement or environmental response to such friable ACM shall be performed by the Landlord at the Landlord's sole cost and expense. IfACM in or on the Property or the Building was rendered friable due to the negligence of the Postal Service (including any such negligence of the Postal Service under any prior lease or leases of the Premises), the Postal Service shall be liable for the removal, abatement, containment, repair, remediation, replacement or environmental response to such friable. ACM at the Postal Service's sole cost and expense. The parties agree as follows: (1) to the extent at failure by the Postal Service to maintain the improvements containing ACM in accordance with the Postal Service's obligations under the Maintenance Rider in the current or a prior lease oft the Premises causes asbestos in ACM in the Premises to become friable, such failure shall constitute the negligence of the Postal Service hereunder, and the Postal Service shall be liable for the removal, abatement, containment, repair, remediation, replacement or environmental response to such friable ACM at the Postal Service's sole cost and expense; and (2) to the extent a failure by the Landlord to maintain the improvements containing ACM in accordance with the Landlord's obligations under the Maintenance Rider in the current or a prior lease of the Premises causes asbestos in ACM in the Premises to become friable, such failure shall constitute the negligence oft the Landlord hereunder, and the Landlord shall bel liable for the removal, abatement, containment, repair, remediation, replacement or environmental response to such friable. ACM at the Landlord's sole cost and (ii) Without limiting the foregoing, regardless of whether Landlord is required by this Lease to provide fuel for a heating system as set forth in the Utilities and Services Rider, any investigative and remediation cost associated with a release or suspected release off fuel from the heating system, including any fuel tank, shall bet the responsibility of the Landlord, unless, and to the extent that, the release is caused by the negligence oft the Postal Service's agents or employees, in which event the Postal Service shall be responsible for a portion of the investigative and remediation costs associated with the release to the extent such release was due directly to the d.F Rights to Contribution. Nothing stated herein is intended to limit the right oft the Landlord or the Postal Service ton make claims for contribution or cost recovery under applicable laws against each other or any other persons or e.L Landlord Indemnification of Postal Service. The Landlord hereby indemnifies and holds harmless the Postal Service and its officers, agents, representatives, and from and against any and all claims, losses, damages,  expense.  Postal Service's agents' or employees' negligence.  entities responsible for such Environmental Contamination.  January 2020/V18  Page 4of9    UNITEDSTATES POSTAL. SERVICE.  General Conditions to USPS Lease  Facility Name/Location FLATONIA- MAIN OFFICE (483110-001) 105ES SOUTHN MAIN ST, FLATONIA, TX78941-9998  County: Fayette Lease: QU0000769210  actions, causes of action, expenses, fees and/or liability resulting from, brought for, or on account of any violation of this Clause or in any way arising out of or connected to Environmental Contamination on the Property, except that Landlord shall not be required toi indemnify the Postal Service for, and to the extent of, that portion of the Environmental Contamination caused directly by the negligence of the Postal Service. The parties agree that neither of the following shall constitute the negligence oft the Postal Service: (a) reasonable and ordinary wear and tear and (b) damages by the elements or by circumstances over which the Postal Service has no control.  8. FORCE MAJEURE  Int the event that either party shall be delayed or hindered in or prevented from the performance of any covenant, agreement, work, service, or other act required under this Lease to be performed by such party (a' "Required Act"), and such delay or hindrance is due to causes entirely beyond its control such as riots, insurrections, martial law, civil commotion, war, acts or threats of terrorism, fire, flood, earthquake, delays by governmental authorities or other casualty or acts of God (a' "Force Majeure Event"), then the performance of such Required Act shall be excused for the period of delay, and the time period for performance of the Required Act shall be extended by the same number of days in the period of delay. For purposes of this Lease, the financial inability of Landlord or the Postal Service to perform any Required. Act, including (without limitation) failure to obtain adequate or other financing, shall not be deemed to constitute al Force Majeure Event. A Force Majeure Event shall notl be deemed to commence sooner than 15 days before the date on which the party who asserts some right, defense or remedy arising from or based upon such Force Majeure Event gives written notice thereof to the other party hereto. If abnormal adverse weather conditions are the basis for a claim for an extension oft time due to al Force Majeure Event, the written notice shall be accompanied by data substantiating (1) that the weather conditions were abnormal for the time and could not have been reasonably anticipated and (ii) that the weather conditions complained of had as significant adverse effect on the performance of a Required. Act. To establish the extent of any delay to the performance of al Required. Act due to abnormal adverse weather, a comparison will be made oft the weather for the time of performance of the Required. Act with the average of the preceding ten (10) years climatic range based on the National Weather Service statistics for the nearest weather reporting station to the Premises. No extension of time for or excuse for a delay in the performance of a Required Act will be granted for rain, snow, wind, cold temperatures, flood or other natural phenomena of normal intensity for the locality where the Premises are located. a. This Lease shall be governed by federal law, including but not limited to, the Contract Disputes Act of 1978 (41 U.S.C. 7101-7109) (the' "Act"). Except as provided in the Act, all disputes arising under or relating to this Lease b." "Claim," as used in this clause, means a written demand or written assertion by one of the contracting parties seeking, as a matter of right, the payment of money in a sum certain, the adjustment or interpretation of contract terms, or other relief arising under or relating to this Lease. However, a written demand or written assertion by the Landlord seeking the payment of money exceeding $100,000 is not a claim under the Act until certified as required by subparagraph d below. A voucher, invoice, or other routine request for payment that is noti in dispute when submitted is not a claim under the Act. The submission may be converted to a claim under the Act by complying with the submission and certification requirements of this clause, ifi iti is disputed either as to liability or amount or is C. A claim by the Landlord must be madei in writing and submitted to the Postal Service Contracting Officer fora a written decision. A claim by the Postal Service against the Landlord is subject to a written decision by the Postal Service Contracting Officer. For Landlord claims exceeding $100,000, the Landlord must submit with the claim the  9. GOVERNING LAW; CLAIMS AND DISPUTES  must be resolved under this clause.  not acted upon in a reasonable time.  following certification: January 2020/V18  Page 5of9    POSTAL. UNITEDSTATES SERVICE.  General Conditions to USPS Lease  Facility Name/Location FLATONIA- MAIN OFFICE (483110-001) 105E ES SOUTHM MAIN ST,FLATONIA, TX 78941-9998  County: QU0000769210 Fayette Lease:  "Icertify that the claim is made in good faith, that the supporting data are accurate and complete to the best of my knowledge and belief, that the amount requested accurately reflects the contract adjustment for which the Landlord believes the Postal Service is liable, and that I am duly authorized to certify the claim on behalf oft the Landlord." The certification may be executed by any person duly authorized to bind the Landlord with respect to the claim. d. For Landlord claims of $100,000 or less, the Postal Service Contracting Officer must, ifr requested in writing by the Landlord, render a decision within 60 days of the request. For Landlord-certified claims over $100,000, the Postal Service Contracting Officer must, within 60 days, decide the claim or notify the Landlord oft the date by which e. The Postal Service Contracting Officer's decision is final unless the Landlord appeals or files a suit as provided in f.When a claim is submitted by or against al Landlord, the parties by mutual consent may agree to use an alternative dispute resolution (ADR) process to assist in resolving the claim. A certification as described in subparagraph d oft this clause must be provided for any claim, regardless of dollar amount, before ADR is used.  the decision will be made.  the Act.  g. The Postal Service will pay interest on the amount found due and unpaid from:  1. the date the Postal Service Contracting Officer receives the claim (properly certified if required); or 2. the date payment otherwise would be due, if that date is later, until the date of payment. h. Simple interest on claims will be paid at a rate determined in accordance with the Act.  i.Landlord must proceed diligently with performance of this Lease, pending final resolution of any request for relief, claim, appeal, or action arising under this Lease, and comply with any decision of the Postal Service Contracting j.Int the case where the Landlord has alleged al Postal Service default, and where the Postal Service has vacated the Premises, Landlord must use reasonable efforts to obtain another tenant for the Premises at a fair market rental k.I In no event shall the Postal Service or Landlord be liable for any consequential, punitive, or special damages under this Lease. The parties agree that this restriction shall not apply to liquidated damages, ifany, provided fori in  Officer.  and to otherwise mitigate its damages.  any work letter or other rider or attachment to this Lease.  10. GENERAL  a. Quiet Enjoyment. Without limiting any rights the Postal Service may have by statute or common law, Landlord covenants and agrees that, provided that the Postal Service is noti in default under this Lease, and for so long as this Lease is in full force and effect, the Postal Service shall lawfully and quietly hold, occupy and enjoy the Premises during the term of this Lease from and after Landlord's delivery of the Premises to the Postal Service until the end of the term, without disturbance by Landlord or by any person having title paramount to Landlord's title or by any person claiming by, through or under Landlord. In the event of substantial, material or unreasonable interference by Landlord as a result of the Landlord exercising its rights and obligations under this Lease, the Rent and all other payments and reimbursements due or to become due under this Lease all shall be equitably abated if the interference continues for more than 24 hours. In the event such interference shall continue for longer than 6  January 2020'V18  Page 6of9    POSTAL: UNITEDSTATES SERVICE.  General Conditions to USPS Lease  Facility Name/Location FLATONIA- MAIN OFFICE (483110-001) 105E SOUTHI MAIN: ST, FLATONIA, TX7 78941-9998  County: Lease: QU0000769210 Fayette  months, the Postal Service shall have the option to terminate this Lease or continue to operate with rent abatement until thei interruption ceases. Notwithstanding the foregoing. int the event that, as a result of any substantial, material orunreasonable interference, the Postal Service is legally required to move any of its operations, then Landlord shall reimburse the Postal Service for the actual reasonable costs incurred in connection with such move. b. Exterior of Building. Landlord shall not place, or allow any other person or entity to place, any advertising, bas reliefs, murals or other decorations on the exterior walls of the area in which the Premises is located nor shall Landlord place, or allow any other person or entity to place any additional landscaping or plantings in such area in excess of that landscaping or planting in existence at the commencement of this Lease. Nothing stated herein is intended to prohibit Landlord from replacing the landscaping or plantings in existence at the commencement of this C. Landlord's Access. Landlord and Landlord's agents shall have the right to enter the Premises upon reasonable prior written notice for the purpose of performing inspections, maintenance or repairs that are the responsibility of Landlord under this Lease; provided that no inspections may occur during the Postal Service's peak season (November 1 of each year through January 31 of the following year) other than those necessitated by the sale or refinance of the Property. The Landlord's right of entry hereunder shall be exercisable only during normal business hours and only on the terms set forth in a separate right of entry agreement available to Landlord upon written request to the Postal Service. All other access to the Premises, including but not limited to showing the property to potential buyers, and within 30 days of the end of the Lease term, showing the property to potential tenants, shall d. Calendar Days. All references herein to' "days" shall mean calendar days unless specified to the contrary. e. Counterparts. This Lease may be executed in counterparts, which together shall constitute a single instrument. The parties agree that ift the signature(s) of either Landlord or the Postal Service on this Lease or any amendments, addendums, assignments, or other records associated with this Lease is not an original but is an electronic signature, scanned signature or a digitally encrypted signature, then such electronic signature, scanned signature or digitally encrypted signature shall be as enforceable, valid and binding as, and the legal equivalent to, an authentic original wet signature penned manually by its signatory. Signatures required under this Lease, or any amendments, addendums, assignments, or other records associated therewith, may be transmitted by email or by fax and, once received by the party to whom such signatures were transmitted, shall be binding on the party f.Notices. Whenever a provision is made under this Lease for any demand, notice or declaration of any kind, or where iti is deemed desirable or necessary by either party to give or serve any such notice, demand or declaration to the other party, it shall be in writing and sent by () United States mail, certified, postage prepaid or (i) by Priority Mail Express (overnight), ine eachi instance to the addresses set forth below or at such address as either party may advise the other from time to time in writing. Notices to the Postal Service must include the identification of the facility name and location to be effective. Notices given as required by this Lease will be deemed to have been given three (3) days after the date of certified mailing or the next business day after being sent by Priority Mail Express (regardless whether the addressee rejects, refuses to sign, or fails to pick up such delivery).  Lease as needed.  be at the sole discretion of the Postal Service.  transmitting its signatures as though they were an original signature of such party.  January 2020/V18  Page7 7of9    UNITEDSTATES POSTAL: SERVICE.  General Conditions  to USPS Lease  Facility Name/Location FLATONIA- MAIN OFFICE (483110-001) 105E SOUTHN MAIN: ST, FLATONIA, TX7 78941-9998  County: Lease: QU0000769210 Fayette  Tol Landlord at:  CITY OF FLATONIA PO BOX329 FLATONIA, TX 78941-0329  With a copy to:  Tot the Postal Service at:  Contracting Officer USPS Facilities Leasing West PO Box 5527 Denver, CO 80217-5527 Postmaster/instalation Head  With a copy to:  105 E SOUTH MAIN ST, FLATONIA, TX 78941-9998  Anything in the foregoing to the contrary notwithstanding, in the case of multiple persons or entities comprising Landlord under this Lease or in the case of a person or entity acting as an agent of Landlord, notices to any one of such multiple persons or entities or notice to an agent of Landlord shall be deemed to be sufficient notice to  Landlord.  11. FACILITIES NONDISCRIMINATION  a.E By executing this Lease, the Landlord certifies that it does not and will not maintain or provide for its employees any segregated facilities at any ofi its establishments, and that it does not and will not permit its employees to perform serviçes at any location under its control where segregated facilities are maintained. b.7 The Landlord will insert this clause in all contracts or purchase orders under this Lease unless exempted by Secretary ofl Labor rules, regulations, or orders issued under Executive Order 11246. 12. CLAUSES REQUIRED TO IMPLEMENT POLICIES, STATUTES, OR EXECUTIVE ORDERS  The following clauses are incorporated in this Lease by reference. The text of incorporated terms may be found in  the Postal Service's Supplying Principles and Practices, accessible at ittp./aboutusps.commanualsspontm/spp10.htm or by searching www.usps.com.  Clause 1-5, Gratuities or Gifts Clause 1-6, Contingent Fees Clause 9-3, Davis-Bacon. Act' Clause 9-7, Equal Opportunity?  Clause 9-13, Equal Opportunity for Workers with Disabilities Clause 9-14, Equal Opportunity for VEVRAA Protected Veterans4 Clause 9-16, Employer Reports on Employment of Protected Veterans4  Clause B-25, Advertising of Contract Awards  January 2020/V18  Page 8of9    POSTAL. UNITEDSTATES SERVICE.  General Conditions to USPS Lease  Facility Name/Location FLATONIA- MAIN OFFICE (483110-001) 105E ES SOUTHI MAIN ST. FLATONIA, TX78941-9998  County: Lease: QU0000769210 Fayette  Note: For purposes of applying the above standard clauses to this Lease, the terms "supplier," "contractor," and "lessor" are synonymous with' 'Landlord," and the term' 'contract" is synonymous with' "Lease."  For premises with net interior space in excess of 6,500 SF. 2 For leases aggregating payments of $10,000 or more. 3 For leases aggregating payments of $10,000 or more. 4 For leases aggregating payments of $25,000 or more.  January 2020/V18  Page 9of9    POSTAL. UNITEDSTATES SERVICE.  Maintenance Rider Landlord Responsibility  Facility Name/Location FLATONIA- MAIN OFFICE (483110-001) 105 ES SOUTHI MAINS ST, FLATONIA, TX7 78941-9998  Fayette County: Lease: QU0000769210  1.1 Landlord Responsibilities. Landlord shall, except as otherwise specified herein and except for damage resulting from, and to the extent of, the negligence of the Postal Service's agents or employees (which portion of the damage arising directly from Postal Service's agents or employees negligence shall be the responsibility of the Postal Service), maintain the Premises, including the building and any and all equipment, fixtures, systems, common facilities and appurtenances (including but not limited to parking lots, driveways, fencing and sidewalks), furnished by Landlord under this Lease, in good repair and tenantable condition consistent with standards of comparable buildings and/or projects located in the vicinity of the Property. Landlord's duties under this Rider shall include repair and replacement, as necessary, and includes without limitation: a.F Pest Control. Landlord is responsible fori inspection, prevention and eradication of vermin, birds, insects, including, without limitation, termites and any other wood-eating insects and for repairs of any damage b. Casualty. Landlord is responsible to repair damages resulting from Acts of God; acts of public enemy, riot or insurrection; and vandalism and damages resulting from fire or other casualty (except to the extent such damages were caused due to the negligence of the Postal Service agents or employees in which case the Postal Service shall be responsible for the portion of repairs caused directly by its negligence). C.HVAC. Any heating system and air conditioning equipment furnished by Landlord must be properly sized for the facility, must! be in good working order at the commencement of the term, and must be maintained and, if necessary, replaçed by Landlord to ensure that it remains in good working order and in proper operation; such system and equipment must be capable of providing heat to a minimum temperature of 68 degrees Fahrenheit (68°F) and cooling to a maximum temperature of 78 degrees Fahrenheit (78°F) in all enclosed portions of the Premises (excluding any rear vestibule) at all times during the appropriate seasons. Landlord shall be responsible for maintaining and servicing of the heating system and air-conditioning equipment, including, refrigerant and filters per manufacturer's recommendation as required for proper operation of the d. Heating and Hot Water Supply. Boilers and unfired pressure vessels provided by Landlord as part of the Premises shall be maintained and, ifr necessary, replaced by the Landlord in accordancewith the most stringent of the federal, state or local codes and ordinances. Current safety certificates issued by an organization recognized by the National Board of Boiler and Pressure Vessel Inspectors or at federal, state or municipal authority which has adopted the American National Standard Insttute/American Society of Mechanical Engineers Boiler and Vessel Code, must be provided by Landlord for boilers and unfired pressure vessels. In the event local jurisdictions do not require periodic inspection of such equipment, the Postal Service shall have the right to conduct inspections and require corrective actions by Landlord. e.E Electrical System. Any electrical/power system furnished by Landlord must be properly sized for the facility, must bei in good working order at the commencement of the term, and must be maintained and, if necessary, replaced by Landlord to ensure that it remains in good working order and in proper operation. V Water and Sewer. Whether public or private water or sewer systems are provided, said systems (including potable water) must be properly sized for the facility and be maintained, in good working order at all times during the term and replaced by Landlord as necessary to ensure that the same remain in good working  resulting therefrom.  equipment and for replacing the same at the end ofi its useful life or earlier.  order including having any inspections that may be required performed.  January: 2020/V18  Page 1of3    POSTAL: UNITEDSTATES SERVICE.  Maintenance Rider Landlord Responsibility  Facility Name/Location FLATONIA- MAIN OFFICE (483110-001) 105 ES SOUTH! MAIN ST, FLATONIA, TX78941-9998  County: Fayette Lease: QU0000769210  g. Wiring. Any wiring, including, but not limited to, wiring for the Electronic Security and Surveillance Equipment, Closed Circuit Television, Very Small Aperture Terminal, Criminal Investigation System, Intrusion Detection System, etc., installed by Landlord shall be maintained, and ifr necessary, replaced by Landlord. However, the Landlord shall not attempt any maintenance of, or repair of, or interfere with, the actual security, telephone, or telecommunications equipment, such as cameras, consoles, monitors, satellite dishes, h. Utilities Distribution Systems. Landlord is responsible for all utilities (i.e., water, gas, electrical, sewer) distribution systems and structures and the components thereof which deliver such utility services to the Premises and the Property, including but not limited to base building electrical, plumbing, pipes, conduit, wiring, and related components located within the facility including, without limitation, behind walls, under floors and inside ceilings. This excludes additional systems and/or structures that were specifically installed by the Postal Service or its contractors for the Postal Service's particular furniture, fixtures, and equipment  telephone handsets, and Point-of-Service equipment of the Postal Service.  needs.  2. Postal Service Responsibilities. Notwithstanding anything herein to the contrary, the Postal Service shall, except for damage resulting from, and to the extent of, the negligence ofl Landlord's, agents, employees, or contractors, maintain the following items at the Premises if originally installed by the Postal Service: flag poles, dock lifts, roll-up customer service windows, roll-up doors, scissor lifts, electronic security systems, and lobby and back-door locks. The Postal Service's duties include repair and replacement, as necessary, of the aforementioned items and shall be fulfilled at such time and in such manner: as the Postal Service reasonably considers necessary. The Landlord shall be responsible for the portion of maintenance, repair and replacement  costs for damage to such items resulting directly from its negligence. 3.C Completion of Maintenance, Repair, or Replacement by Landlord.  a. If the Landlord is required to maintain, repair or replace something under this Lease, including, without limitation, this Rider, Landlord must perform all maintenance, repairs and replacements promptly and in any event within the time period provided in the Postal Service's notice to Landlord and submit photographs of the completed repair to the Postal Service at the address designated in such notice provided by the Postal Service. If Landlord does not finish such maintenance, repairs or replacements within the time period set forth in the Postal Service's notice, then unless the Landlord requests more time, and the Postal Service grants more time using its reasonable judgment, then the Postal Service may () perform the maintenance, repair, or replacement (by contract or otherwise) and recover the cost plus any administrative cost and/or interest, from the Landlord and from Rent and any other payments and reimbursements due or to become due to Landlord from the Postal Service or federal government, or (i) terminate the Lease on a date specified b. Int the case of an emergency (as reasonably determined by the Postal Service), then notwithstanding the above provision, the Postal Service may give Landlord notice by phone or other method and may give such shorter notice as is practicable under the circumstances. Upon notice, Landlord must immediately start the maintenance, repairs or replacements and if Landlord fails to start such maintenance, repairs or replacements immediately, the Postal Service may immediately perform the maintenance, repair, or replacement (by contract or otherwise) and recover the cost plus any administrative cost and/or interest, from  by the Postal Service in the notice to Landlord.  January 2020/V18  Page 2of3    POSTAL. UNITEPSTATES SERVICE.  Maintenance Rider Landlord Responsibility  Facility Name/Location FLATONIA- MAIN OFFICE (483110-001) 105ESOUTHI MAIN ST, FLATONA.TX78941.995  County: QU0000769210 Fayette Lease:  the Landlord and from Rent and any other payments and reimbursements due or to become due to Landlord c.Ina addition to any other remedies of the Postal Service, the Postal Service may abate Rent and all other payments and reimbursements due or to become due under this Lease for any period the Postal Service reasonably determines all or any portion of the Premises, any common areas of the Property providing access to the Premises, or parking areas are untenantable or unfit for the Postal Service's use as a result of Landlord's failure to maintain, repair or replace as required by this Lease. Rent and other payments due or to become due to Landlord will be abated in proportion to thei impairment or loss of use as determined by the 4. Health and Safety. In performing the maintenance, repair and/or replacement obligations under this Lease, a. comply with applicable Occupational Safety and Health Standards, title 29 Code of Federal Regulations (CFR) (including but not limited to Parts 1910 and 1926), promulgated pursuant to the authority of the b.c comply with any other applicable federal, state, or local regulation governing workplace safety to the extent  from the Postal Service or the federal government.  Postal Service. Landlord must:  Occupational Safety and Health Act of 1970 (OSHA); they are not in conflict with section (a) above; and  c.t take all other proper precautions to protect the health and safety of:  (1)any! laborer or mechanic employed by the Landlord in performance of this Lease;  (2) Postal Service employees; and  (3) the public.  Landlord must include this clause in all contracts hereunder and require its inclusion in all subcontracts ofa lower tier. The term' 'Landlord" as used in this clause in any contract must be deemed to refer to the contractor. 5. Landlord. Access. Ini the event of emergency requiring access after-hours, Landlord must call the Postal Inspection Service at 1-877-876-2455 Option 2 "Emergency" prior to entry. When entering or performing any repair, maintenance, replacements or other work in the Premises, Landlord, its agents, employees and/or contractors (i) shall identify themselves to the Postal Service's personnel immediately upon entering the Premises, and must be accompanied by al Postal Service employee when not in public areas; and (ii) shall use commercially reasonable, good faith efforts not to affect, interrupt or interfere with the Postal Service's use, business or operations on the Premises or obstruct the visibility of or access to the Premises by more than a de  minims extent, as determined by the Postal Service  January 2020/V18  Page 3of3    UNITEDSTATES POSTAL SERVICE.  Utilities and Services Rider  Facility! Name/Location FLATONIA- MAIN OFFICE (483110-001) 1056 ES SOUTHI MAIN ST, FLATONIA, TX78941-9998  County: Lease: QU0000769210 Fayette  Unless otherwise indicated below, the responsibilities of Landlord identified in this Utilities and Services Rider are a part of the Rent paid under the Lease and are not subject to reimbursement by the Postal Service.  1. HEAT of fuel. 2. ELECTRICITY  The Postal Service pays all recurring fuel charges to the Premises, provided such charges are separately metered, by a meter or sub-meter installed by Landlord at Landlord's expense, to measure the Postal Service's consumption  The Postal Service will pay all recurring electric bills, provided such charges are separately metered, by a meter or sub-meter installed by Landlord at Landlord's expense, to measure the Postal Service's consumption.  3. WATER  At all times, Landlord must ensure that there is potable water serving the Premises. If at any time the water provided to the Premises is not potable, then the Landlord shall furnish potable wateri in a quantity sufficient to serve the maximum number of postal employees located at the Premises on a regular basis, and shall ensure such potable water is available at all times. Landlord must pay for all recurring charges related toi the provision of such The Premises are hooked up to a public water system. The Postal Service must pay for all recurring charges for provision of such water services, provided such charges are separately metered by a meter or sub-meter installed  potable water.  by! Landlord at Landlord's expense, to measure the Postal Service's consumption.  4. SEWER  The Premises are hooked up to a public sewer system. The Postal Service must pay for all recurring charges for such sewer services, provided such charges are separately metered, by a meter or sub-meter installed at  Landlord's expense, for the measurement of Postal Service's consumption.  5. TRASH  Postal Service is responsible for all trash removal and disposal from the Premises and will provide its own trash receptacle or receptacles at its cost in a location acceptable to the Postal Service either on the Premises or in the  common areas, if any. 6. SNOW  The Postal Service agrees to remove snow and ice at the cost of the Postal Service from only those areas used exclusively by the Postal Service, which may include all or only portions of the sidewalks, driveways, drive aisles, entrances, exits, parking and maneuvering areas, and any other areas providing exclusive access to the Premises used by the Postal Service's employees, contractors, or customers (including,but not limited to, stairs, handicap access ramps, carrier ramps, etc.). The Postal Service is not responsible for, and will not pay the costs of, the removal of snow andi ice from the roof or any areas note exclusively used by the Postal Service. Landlord is responsible for and must pay the costs of the timely removal of snow andi ice from the roof, as well as all areas not  exclusively used by the Postal Service.  January 2020/V18  Page 1of2    UNITEDSTATES POSTAL. SERVICE.  Utilities and Services Rider  Facility Name/Location FLATONIA- MAIN OFFICE (483110-001) 105 ES SOUTHI MAIN ST, FLATONIA, TX.78941-9998 7. CUSTODIAL SERVICES  County: Lease: QU0000769210 Fayette  Custodial Services for purposes of this Lease means the following: all duties considered necessary or desirable by the Postal Service to maintain cleanliness at the Premises and the Property. Custodial services include, but are not limited to the following tasks: vacuum and mop floors, empty trash containers, clean windows, sanitize bathroom fixtures and carry out any other tasks related to cleaning dirt and debris from the inside or the outside of a particular The Postal Service will provide its own custodial services for thei interior and exterior of the Premises ati its cost. Landscaping for purposes oft this Lease means an exterior area devoted to or developed and maintained with plantings, decorative outdoor landscape elements, sculptures, benches, water features, paved or decorated surfaces of rock, stone, brick, block or similar material (excluding sidewalks, driveways, parking, loading or storage The Postal Service has no responsibility for any landscaping, except that the Postal Service will be responsible for cutting the grass and trimming low shrubs at such times and in such manner as the Postal Service determines  building. Custodial services do noti include roof or gutter cleaning, or landscaping.  8. LANDSCAPING  areas).  necessary ini its sole discretion.  January 2020/V18  Page 2of2    February 24, 2023  COMMISSIONAGREEMENT  This Agreement, made as of the last date written below, is between CITY OFFLATONIA ("Lessor"), and; Jones Lang LaSalle Americas, Inc. ("Broker") as co-broker to Jones Lang LaSalle Americas, Inc. ("Agreement". and confirms the terms under which Lessor will pay a real estate brokerage commission to Broker for the lease ("Lease") between Lessor and the 1. Lessor will pay Broker, and Broker will accept as its full and only compensation for services rendered in connection with the Lease, an agreed upon rate thati isi in accordance with local business practices. The Lessor and Broker have agreed upona 2. The commission will be earned 100% upon full execution of the Lease and will be paid within ninety (90) days of execution 3. The Aggregate Lease Value will include the initial rental to be paid by Tenant on all space leased by the Tenant and any fixed annual or other periodic bumps and/or fixed annual other periodic rent escalations occurring during the initial term of the Lease. The Aggregate Lease Value will noti include any rental abatement, operating expenses and/or real estate taxes, any additional amounts paid by Tenant for services over and above those furnished by Lessor as part of the Lease, and option periods and/or lease terms beyond the initial term oft thel Lease. Inr no event shall thet foregoing preclude Broker from receivinga a commission for any extension, renewal, expansion or additional leasing int the event Tenant has engaged Broker 4. Lessor agrees that it will not modify or in any way reduce the amount of Broker's commission hereunder. Ifeither party institutes any action or proceeding against the other relating to the provisions of this Agreement, the unsuccessful partyi in the action or proceeding will reimburse the prevailing party all reasonable expenses, attorneys' fees, and disbursements. 5. This Agreement will continue to be in effect until the first anniversary of its full execution. If on the first anniversary the Lessor and Tenant are still negotiating for the Lease of the subject property, to the extent not prohibited by law, this Agreement will be automatically extended until such negotiations cease or al lease is fully executed. 6. This Agreement constitutes the entire agreement between Lessor and Broker and supersedes all prior discussions, negotiations, and agreements, whether oral or written. No amendment, alteration, or withdrawal of this Agreement will be valid or binding unless made in writing and signed by both Lessor and Broker. This Agreement will be binding upon the 7. Lessor and Broker each represents and warrants to the other that, in connection with Tenant's Lease of the subject property, it has not employed or dealt with any broker, agent, or finder other than Broker. Lessor and Broker shall each indemnify and hold the other harmless from and against any claims for brokerage fees or other commissions asserted by any broker, agent or finder employed by Lessor or Broker, respectively, or with whom Lessor or Broker, respectively, has 8. Lessor and Broker agree not to disclose confidential financial information on commission, or any otheri information having an adverse effect on the agreement and will refrain from using thei information for any other purpose than that for whichi it was 9. Each party shall be responsible to the other party only for the reasonably foreseeable direct damages caused by its breach of this Agreement and in no event will either party be liable to the other for any loss of or damage to revenues, profits, or goodwill or other special, incidental, indirect, or consequential damage of any kind resulting from its performance or failure to perform pursuant to the terms of this Agreement. In no event shall Broker's liability for damages in connection with a claim made hereunder, including anyi indemnification obligation arising! hereunder, exceed the amount of any commission actually 10. Each signatory to this Agreement represents and warrants that it has full authority to sign this Agreement on behalf of the  United States Postal Service ("Tenant") oft that certain real property described as: FLATONIA MAIN OFFICE, 105 E SOUTH MAIN ST, FLATONIA, CO  USPS Property ID 483110-001 commission equalt to: Annual Rent $14,175.00  Total Rent $70,875.00  Commission Rate 4%  Amount Due $2,835.00  withouti further condition or contingency.  tor represent it.  THE PARTIES HEREBY WAIVE TRIAL BY. JURY.  successors and assignees oft the parties.  dealt.  furnished. The parties agree that there may be a client fee share, if allowed by applicable law.  received by Broker under this Agreement.  party for whom its signs and that this Agreement binds such party.  BROKER:  LESSOR: CITY OF FLATONIA By: Name and Title Dated:  Jones Lang LaSalle Americas, Inc.  By: Name and' Title Dated:    Request for Taxpayer  Form W-9 (Rev. October 2018) Department oft theT Treasury Internal Revenue Service  Give Form to the requester. Dor not send to the IRS.  Identification Number and Certification Got tov www.rs.gowlFommw9 fori instructions and thel latest information.  1 Name (as shown on) your income tax return). Name is required ont this line; dor not leavet this linel blank.  2 Business name_disregardede entityn name,H.difterent froma above  3 3_Check appropriate box forf federalt tax classification oft thep person whoser namei is entered onli line1. Check only one ofthe 4 Exemptions (codes applyo only to  followings seven boxes. Individual/sole proprietor or single-r member LLC  certain entities, noti individuals; see instructions ong page 3): Exempt payee code (fa any_  CCorporation OsCorporation  Partnership  Trust/estate  Limited liability company. Enter thet taxo classification (C=C corporation, S-S corporation, P-Partnership). Note: Check the appropriate boxi int thel line abovef fort thet tax classification oft thes single- member owner. Dor not check Exemption from FATCAreporting LLCift thel LLCis classified as as single- member LLC thati is disregarded from thec owner unless the owner oft thel LLCIs code another LLC thati is not disregardedi fromt thec owner for U.S. federalt taxp purposes. Otherwise, as single-member LLCt that (fa any) is disregardedf from thec owner should checkt thes appropriate box fort thet tax classifiçation ofi its owner.  Other (see instructions)" 6_City, state, and ZIPcode 7 Lista account numberis) hera lnn" Part! Taxp Enter your TINinthe backup withholding. F resident alien, sole pro entities, itis youre empk TIN, later. Note: Ift the accounti isir Number To Give the Rec Part II Certifici Under penalties ofp perjury, 1.1 Ther number shown onti 2.lamr not subject to backi Service( (IRS)t thatl I am SL nol longer subject to back 3.1 lamal U.S. citizen or othe 4.1 Thel FATCA code(s)e entere  (Applies toaccountsn mamasoisomus)  5_Address (number, street, and apt. ors suiter no.)s Seei instructions.  Requester'sr name anda address (optional)  onl line 11 to jiven avoid (SSN). However, fora later. For other er, see How to geta a What see Name and  Social security number or Employer identifications  1D Fuk.  TRK  ON  number.  amy waiting for a number to bei issued to me); and iholding, or (b)! Ihave not been notified by the Intemal Revenue irta alli interest or dividends, or the IRSI has notified me  XXX/082  (c)  thatlam  ucatingt thatl lam exempt from FATÇAI reportingi is correct.  Certification instructions. Your must cross outi item 2 abovei ify youl havel been notified by thel IRS thaty you are currently subject tob backup withholding because you! havet failed tor report alli interest and dividends ony yourt tax return. For real estate transactions, item 2 does nota apply. For mortgagei interest paid, acquisition or abandonment ofs securedp property, cancellation ofd debt, contributions to ani individual retirement arrangement (RA), and generally, payments other thani interest and dividends, you arer not required to sign the certification, but your must provide your correct TIN. See thei instructions for Partil,later.  Sign Signature of Here U.S. person> General Instructions  Date>  Form 1099-DIV (dividends, including thoset from stocks or mutual Form 1099-MISC (various types ofi income, prizes, awards, or Form 1099-B (stock or mutual funds sales and certain other Form 1099-S (proceeds from real estatei transactions)  Form 1099-K( (merchant card and1 third party network transactions) - Form 1098 (home mortgagei interest), 1098-E (student loani interest), Use Form W-9 only ify you are al U.S. person includingaresident lfyoud do not retum Form! W-91 to the requester with a TIN, you might be subject to backup withholding. See What is backup withholding,  funds) proceeds) transactions byl brokers) 1098-T (tuition) Form 1099-C (canceled debt) Form 1099-A (acquisition or alien), top provide your correct" TIN. later.  Section references aret tot thel Internal Revenue Code unless otherwise Future developments. For the latesti information about developments related to Form' W-9 andi its instructions, such asl legislation enacted after they were published, go tov wwwirsgowFommwg. Ani individual ore entity (Form W-9 requester) whoi is required tot file an information return with the IRS must obtain your correct taxpayer identification number (TIN) whichr may be your social security number (SSN), individuali taxpayer identification number (TIN), adoption taxpayer identification number (ATIN), ore employer identification number (EIN), tor report on an information return the amount paidt toy you, or other amount reportable on ani information return. Examples ofi information returns include, but are not limited to, the following. Form 1099-INT (interest earned or paid)  noted.  gross  Purpose of Form  abandonment  of secured property)  Cat. No. 10231X  Form W-9(Rev. 10-2018)    Form W-9( (Rev. 10-2018) Bys signing thet filled-out form, you: number tot bei issued),  Page 2  Example. Article: 20 oft the U.S.-China income tax treaty allows an student temporarily present int the United States. Under U.S. law, this student willl become ar resident alien for tax purposes ifhis or hers the United States exceeds 50 calendar years. However, paragraph. stayi 2of in the provisions ofA Article 201 to continuet to apply even after the Chinese student who qualifies for this exception (under paragraph2 oft thet first protocol) and is relying ont this exception to claim an exemption from tax on! his or hers scholarship ort fellowshipi income would attach to Form W-9 a statement thati includes thei information described: above to Ify you are a nonresident alien or af foreign entity, give the requester the Whati is backup withholding? Persons making certain payments toy you must under certain conditions withhold and payt tot the IRS 24% ofs such payments. Thisi is called' 'backup withholding." Payments that mayl be subject to backup withholding includei interest, tax-exempt interest, dividends, broker and barter exchange transactions, rents, royalties, nonemployee pay, payments made ins settlement ofp payment card and third party network transactions, and certain payments from fishing boat operators. Real estate transactions arer nots subject tot backup Youv will not be subject to backup withholding certifications, and report ally yourt taxable interest and dividends ony your 1. You do noti furnishy your TIN tot the requester, 2. You do not certify your TIN whenr Part 11 for details),  1.0 Certify that the TIN youa are giving is correct (ory you are waitingf fora exemption from tax fors scholarship income received by a Chinese 3. Claim exemption from! backup withholdingi ify you: areal U.S. exempt thef first Protocol tot the U.S.-China treaty (dated April 30, 1984) allows allocable share ofa any partnership income from aU.S. trade or business student becomes ar resident alien oft thel United States. A Chinese  2.Certify that you are not subject to backup withholding, or payee. Ifa applicable, you are also certifying that as aU.S. person, your is nots subject to the withholding tax onf foreign partners' share of effectively connectedi income, and 4. Certifyt that FATCA code(s) entered on this form (if any)i indicating that youa aree exempt from thel FATCA reporting, is correct. See Whati is FATCA reporting, later, forf furtheri information. Note: Ify you are al U.S. person and a requester gives you at form other itiss substantially similart tot this Form W-9. Definition ofa al U.S. person. For federal taxp purposes, you are considered: al U.S. personi if youa are: . Ani individual whoi isa al U.S. citizen or U.S. resident alien; Ap partnership, corporation, company, or association created or organized int the United States or under thel laws oft the United States; . Ane estate (other than af foreigne estate); or A domestic trust (as definedi inf Regulations section 301.7701-7). Special rules for partnerships. Partnerships that conducta al trade or business int the! United States are generally requiredt top pay a withholding tax under section 1446 on anyf foreign partners' share ofe effectively where al Form' W-91 has not been received, ther rules under section 1446 require a partnership top presume that a partner is at foreign person, and tax return. that isa a partner ina a partnership conducting a trade orb business int the United States, provide Form W-9 to the partnership to establish your U.S. status and avoids section 1446 withholding ony yours share of Int the cases below, thet following person must givel Form W-9t to the partnership for purposes ofe establishing its U.S. status and: avoiding withholding oni its allocable share of neti income from the partnership conducting: at trade or business int the United States. Int the case ofac disregarded entity with al U.S. owner, the U.S. owner of the disregarded entity andr nott the entity; Int the case ofag grantor trust with al U.S. grantor or other U.S. owner, generally, the U.S. grantor or other U.S. owner oft the grantor trust and . Int the case ofal U.S. trust (other than a grantor trust), the U.S. trust (othert than a grantor trust) andi not the beneficiaries oft the trust. Foreign person. If you are at foreign person ort thel U.S. branch ofa foreign! bank that has elected tob be treated as aU.S. person, do not use Form W-9. Instead, uset the appropriate Form W-8 or Form 8233 (see Pub. 515, Withholding of Tax on! Nonresident. Aliens and Foreign Nonresident: alien whol becomes a resident alien. Generally, onlya a ore eliminate U.S. tax on certain types ofi income. However, most tax treaties contain ap provision! known as a' "saving clause." Exceptions specified int thes saving clauser may permit ane exemption from tax to become au.S. resident alien for tax purposes. Ify youa are al U.S. resident alien whoi isr relyingo on ane exception contained int the saving clause of at taxt treatyt to claim ane exemption from U.S. tax on certain types ofi income, your must attach a statement to Form W-91 thats specifies thef followingf fivei items. 1.7 Thet treaty country. Generally, this must bet the same treaty under which you claimed exemption from tax as a nonresident: alien. 2.1 Thet treaty article addressing thei income. 3.1 The article number (or location) int the taxt treatyt that contains the saving clause andi its exceptions. 4.1 Thet type anda amount ofi income that qualifies for the exemption from tax. thet treaty article.  support that exemption. Backup Withholding  than Form W-9t tor requesty your TIN, your mustu uset the requester's formi if appropriate completed Form W-8 or Form 8233.  withholding.  on payments you  connected1 taxablei income from such business. Further, inc certain cases receive ify you give the requester your correct TIN, maket the proper payt thes section 1446 withholding tax. Therefore, if you are aU.S. person Payments you receive will be subject tol backup withholding if:  thei instructions  required (seet  for  partnershipi income.  3.7 The IRS tells ther requester that you furnished: ani incorrect TIN, 4. The IRS tells you thaty you ares subject tob backup withholding because you did not report ally youri interest and dividends on yourt tax return (for reportable interest and dividends only), or 5. You do not certifyt tot the requester that you are not subject to backup withholding under 4 above (for reportablei interest and dividend accounts opened after 1983 only). Certain payees and payments are exempt from backup withholding. See Exempt payee code, later, andt the separate Instructions fort the Requester of Form' W-91 forr morei information. Also see Special rules for partnerships, earlier. What is FATCA The Foreign Account Tax Compliance Act (FATCA) requires a participating foreign financial institution1 to report all United States account holders that are specified United States persons. Certain payees are exempt from FATCAI reporting. See Exemption from FATCA  not thet trust; and  Reporting?  Entities).  nonresident alieni individual may use thet terms ofa ai tax treatyt tor reduce reporting code, later, and the Instructions fort the Requester of Form continue for certaint types ofi income even after the payee has otherwise Your must provide updatedi information to any person to whom you  W-9 for morei information. Updating  Your Information  claimed tol be ane exemptp payeei if you arer nol longer ane exempt payee and anticipate receiving reportable payments int the futuref from this person. Fore example, your may need to provide updated informationif youa are a C corporation that elects to be an S corporation, orify your no longer are tax exempt. In addition, your mustf furnish ar new Form W-9if the name or TIN changes for the account; for example, ift the grantor ofa Failure toi furnish TIN. If you fail tot furnishy your correct TINt toa requester, youa are subject toa a penalty of $50f for each such failure unless your failurei is due tor reasonable cause and not to willfulr neglect. make ai false statement with nor reasonable basis that results inno backup withholding, you ares subject to a $500 penalty.  grantor trust dies. Penalties  5. Sufficient facts toj justifyt the exemption from tax under the terms of Civil penalty for false information with respect to withholding. If you    Form W-9 (Rev. 10-2018) certifications affirmations or including fines and/ori imprisonment. Specific Instructions  Page 3 for...  Criminal penalty for falsifying information. Willfully falsifying Misuse of1 TINS. Ift the requester discloses or uses TINs iny violation of federal law, the requester may bes subject to civil and criminal penalties. You must enter one of the following ont this line; do notl leavet this line blank. The name shouldr match ther name ony your tax return. Ifthis Form' W-9isf for a joint account (other than ana account maintained bya af foreign financiali institution (FFI), list first, and then cirçle, the name oft the person or entity whoser number you entered in Partlof Form W-9. Ify you are providing Form W-9t to an FFIt to document or ajointa account, each holder oft the account that isaU.S. personr must a. Individual. Generally, enter ther name shown ony yourt tax return. If youl have changed your last name withouti informingi the Social Security Administration (SSA) oft the name change, enter your first name, thel last purposes. name as shown on yours social security card, andy your new last name. Note: ITIN applicant: Enter youri individual name asi it was entered on your Form' W-7 application, line 1a. This shoulda also bet thes same as the namey you entered ont the Form 1040/1040A/1040EZ yout filed with your b. Sole proprietor or single-member LLC. Enter youri individual name as shown ony your 1040/1040A/1040EZ: on! line 1.Your may enter your business, trade, or" "doing business as" (DBA) name on line 2. C. Partnership, LLC thati is nota a single- member LLC,C corporation, or S corporation. Entert the entity's name as shown ont the entity's tax return onl line 1 anda any business, trade, or DBAI name on d. Other entities. Enter your name as shown onr required U.S. federal tax documents on line 1.7 This name should match the name shown ont the charter or other legal document creating the entity. Your may enter any disregarded as ane entity separatef from its owner ist treated asa the owner's name on! line 1.1 Ther name oft the entitye entered onl line 1 should never be a disregarded entity.1 Ther name onl line 1 should bet the name shown ont thei income taxi return on whicht thei income should be reported. For example, ifat foreign! LLCt thati ist treated as a disregarded entityf for U.S. federal taxp purposes has a single owner thati is aU.S. person, the U.S. owner's namei isr requiredi to bep provided onl line 1.1f the direct owner oft the entityis is also a disregarded entity, enter the first owner that isr not disregardedi forf federalt tax purposes. Enter the disregarded entity's name onl line 2,' "Business name/disregarded: entity name." Ift the owner oft the disregarded entity is a foreign person, the owner must complete an appropriatel Form W-8i instead ofa Form W-9. This is the case even ift the foreign person has aU.S. TIN. lfyou! have al business name, trader name, DBA name, or disregarded entity name,) your maye enteri ito onl line 2. Checkt the appropriate box onl line 3f fort the U.S. federal tax classification oft the person whose namei is entered on! line 1.Check only  IFt the entity/person onl line 1is THEN check thel box  may subjecty yout to criminal penalties  a(n). : . Corporation . Individual . Sole proprietorship, or Single-member limitedi liability company (LLC) owned bya an individual and disregardedi for U.S. federal tax purposes. . LLCt treated as a partnershipi for Limited liability u.s. federal tax purposes, . LLC that has filed Form 8832 or (P= Partnership; C= C corporation; 2553t to bet taxed as a corporation, orS= S corporation) . LLC that is disregarded entitys separate from its owner but the owner is another LLC thati is not disregarded for U.S.f federal tax . Partnership . Trust/estate Line 4, Exemptions you. Exempt payee code. backup withholding.  Corporation Individual/sole proprietor or single- member LLC  Line 1  and  the appropriate company tax classification. enter)  provide al Form W-9.  as an  Partnership Trust/estate  application.  Ify you are exempt from backup withholding and/or FATCA reporting, enteri int the appropriate space onl line 4 any code(s) that maya applyt to Generally, individuals (including sole proprietors) are note exempt from Except as provided below, corporations are exempt from backup withholding for certain payments, including interest and dividends. madei ins settlement ofp payment card or backup third party withholdingt network transactions. payments Corporations are not exempt from backup withholding with that provide medical or health care services are note exempt with respect Thei following codesi identify payees that are exempti from backup withholding. Enter the appropriate codei int thes spacei inl line 4. 1-An organization exempt from tax unders section 501(a), any IRA, or a custodial account under section 403(b)(7) ift the account satisfies the 3-As state, the District of Columbia, al U.S. commonwealth or possession, ora any of their political subdivisions ori instrumentalities 4-Af foreign government or any ofi its political subdivisions, agencies, 6-A dealer ins securities or commodities required tor register int the United States, the District of Columbia, ora al U.S. commonwealth or 7-Afutures commission merchant registered with the Commodity 9-An entity registered ata allt times during thet tax) year under the 10-A common trust fund operated bya al bank unders section 584(a) 12-Amiddleman knowni int thei investment community as a nominee or 13-At trust exempt from tax unders section 664 or described ins section  line 2.  Corporations are not exempt from  for  business, trade, or DBA name onli line 2.  e. Disregarded entity. For U.S. federal tax purposes, ane entity that is attomeys' fees or gross proceeds paidt to attorneys, and corporations respect to  "disregarded entity." See Regulations section 301.7701- -2(c/(2)(i). Enter to payments reportable on Form 1099-MISC.  requirements ofs section 401(0(2) 2-Thel United States or any ofi its ori instrumentalities 5-Acorporation possession Futures Trading Commission 8-Areale estatei investment: trust Investment Company Act of 1940 11-A1 financial institution custodian 4947  ori instrumentalities  agencies  Line 2 Line 3 one box onl line 3.    Form W-9( (Rev. 10-2018) above,1 through 13. IF the payment isf for. Broker transactions  Page 4  Thef following chart shows types of payments that may! bee exempt from! backup withholding. The chart appliest tot the exempt payeesI listed plan  M-At tax exempt trust under as section 403(b) plan or section 457(g) Note: Your may wish to consulty with thei financial institution requesting this form to determine whether the FATCA code and/or exempt payee Entery your address (number, street, and apartment or suite number). file, write! NEW att thet top. Ifa new address is provided, therei is stilla  THEN the payment is exempt  for. for7  code should be completed. Line 5  Interest and dividend payments Allexempt payees except  Exempt payees 1t through 4 ande 6 This isv wheret ther requester oft this Form W-9 will maily your information through 11 anda all C corporations. returns. Ift this address difers from the onet the requester already has on exempt payeed codel because they chancet the old address will be used until the payor changes your  So corporations must not enter an are exempt onlyf fors sales of noncovered: securities acquired prior to 2012.  address int their records. Line 6 Entery your city, state, and ZIP code.  Barter exchange transactions and Exempt payees 11 through 4 patronage dividends Payments over $600 required tob be Generally, exempt payees reported and direct sales over 1through 5? $5,000' Payments madei ins settlement of Exempt payees 1 through 4 payment card ort third party network transactions 'See Form 1099-MISC, Miscellaneous Income, andi itsi instructions. However, thef following payments made to a corporation and reportable on Form 1099-MISC are note exempt from backup withholding: medical and health care payments, attorneys' fees, gross proceeds paid to ana attomey reportable under section 6045(0). and payments fors services paid byaf federal executive agency. Exemption from FATCA reporting code. Thet followingo codesi identify payees that are exemptf from reporting under FATCA. These codes applyt toy persons submittingi this formi for accounts maintained outside you are onlys submitting this form for ana account you! holdi int the United States, your mayl leave this field blank. Consult withi thep person requesting this formi ify you are uncertain ift thet financiali institutioni is subject to these requirements.. Al requester may indicatet that a codei is anys similar indication) written or printed on thel linet fora aF FATCA A-And organization exempt from tax under section! 501(a) or any individual retirement plan as defined ins section 7701(a)(37) B-Thel United States or any ofi its agencies ori instrumentalities C-A state, the District of Columbia, aU.S. commonwealth or possession, or any oft their political subdivisions ori instrumentalities D-A corporation thes stock of whichi isr regularly traded on one or more established: securities markets, as described inF Regulations section 1.1472-1(c(10 E-AC corporation thati is ar member oft the same expanded affiliated dealeri F-Ad ins securities, commodities, or derivative financial instruments (including notional principal contracts, futures, forwards, and options) thati is registered as such under the laws oft the United States or any state G-Ar reale estatei investment trust H-Ar regulatedi investment company as definedi in section 851 ora an entity registered ata allt times duringt the tax year under the Investment Company Act of1 1940 I-A commoni trust fund as defined ins section 584(a) J-Ab bank as definedi ins section 581 K-AL broker 4947(a)(1)  Partl. Taxpayer Identification Number (TIN) Enter your TIN int the appropriate box. Ify you are a resident alien and you do not have and are not eligible to get an SSN. your TIN is your IRS individualt taxpayer identification number (ITIN). Enteri iti int the social security number box. lfyoud dor notl have anl ITIN, see How tos getaTIN Ifyou are a single-member LLCt that is disregarded as an entity separate from its owner, enter the owner's SSN (or EIN, ift the owner has one). Do not enter the disregarded entity's EIN. Ift the LLCi is classified as a corporation or partnership, enteri the entity's EIN. Note: See What Name and Number To Give the Requester, later, for further clarification ofr name and' TIN combinations. How to geta a TIN.I Ify you do not have a TIN, apply for onei immediately. To applyf for an SSN, get Form SS-5, Application for a Social Security Card, fromy your local SSA office org get this form online at Use Form W-7, Application for IRS Individual Taxpayer Identification Number, to applyf for an ITIN, or Form SS-4, Application for Employer Identification Number, to applyf for an EIN. You can apply for an EIN online by accessing thel IRS website aty wwwingowBusineses: and Business. Go1 tov www.is.gowForms to view, download, or print Form W-7 and/or Form! SS-4. Or, you can got to www. is-gov/Orderforms to place an order and have Form W-7 and/or SS-4 mailed to you within 10 Ifyou are askedt to complete Form W-91 but do not have a TIN, foral TIN andy write' "Applied For"i int the space for the TIN, sign and apply date the form, and givei itt to the requester. Fori interesta and dividend payments, and certain payments made with respect tor readilyt tradable instruments, generallys you willl have 60 days to geta a TIN and give itto the requester before you are subject to backup withholding on payments. The 60-dayr rule does not apply to other types ofp payments. You will bes subject tob backup withholding on all such payments until  below. are as sole proprietor and lfyoua your SSN or EIN.  youl have an EIN, your may enter either  oft the United States by certain foreign financial institutions. Therefore, if www.SSA.gov." Your may also get this form by calling 1-800-772-1213. notr required by providing you with a Form W-9 with' "Not Applicable" (or clicking on Employer Identification Number (EIN) under Startinga  exemption code.  business days.  youp providey your7 TIN tot the requester. TIN ort that youi intendt to apply for one soon. Caution: the appropriate Form' W-8. Partll. Certification  groupa as ac corporation described in Regulations section 1.1472-1(C)10 Note: Entering' "Applied For" means that have already applied  youh  fora  A disregarded U.S. entity that has ai foreign owner must use To establish tot the withholding agentt that you are aU.S. person, resident alien, sign Form W-9. Your may! ber requested tos withholding agente even if item 1,4,or5 belowi indicates otherwise. sign by Fora aj joint account, onlyt thep person whose TINi is showni in Parti should sign (whenr required). Int the case ofac disregarded entity, the person identified on line 1 must sign. Exempt payees, see Exempt payee Signature requirements. Complete the certification asi indicatedi in  the or  code, earlier. items 11 through 51 below.  L-Atrust exempt from tax under section 664 or described in section    Form W-9( (Rev. 10-2018) certification.  Page 5 EIN of:  1.1 Interest, dividend, and barter exchange accounts opened before 1984 andl broker accounts considered: active during 1983. You must givey your correct TIN, but you dor not havet tos signt the 2. Interest, dividend, broker, and barter exchange accounts opened after 1983 and broker accounts considered inactive during 1983. Your must signt the certification or backup withholding willa apply.l youa ares subject to backup withholding and you: are merely providing your correct TINI tot the requester, you must cross outi item 2 int the 3. Real estate transactions. Your must sign the certification. You may 4. Other payments. You must givey your correct TIN, but you dor not have tos sign the certification unless youl have been notified that you have previously given ani incorrect TIN. "Otherp payments" include payments made int the course oft the requester'st trade or business for rents, royalties, goods (other than bills forr merchandise), medical and health care services (including payments to corporations), payments to an nonemployee for services, payments madei ins settlement of payment card and third party network transactions, payments to certain fishing boat crew members andi fishermen, andg gross proceeds paidt to attorneys (including payments to corporations). 5. Mortgage interest paid by) you, acquisition or abandonment of secured property, cancellation ofc debt, qualified tuition program IRA, Coverdell ESA, Archer MSA or HSA contributions or distributions, and pension distributions. You must give your correct TIN, but you do not havet to signt the certification. For this type of account: 1.Individual 2.1 Two orn morei individuals (oint maintained by anF FFI 3.1 Two orn morel U.S. persons (joint account maintained bya an FFI) 4.0 Custodial account ofar minor (Unilorm Giftt tol Minors Act) 5.a.1 The usual revocable savings trust The grantor-t trustee' (grantori is alsot trustee) b. So-calledt trust account thati is not Thea actual owner' alegal or valid trust under statel law 6. Solep proprietorship or disregarded Thec owner" entity owned by ani individual 7.Grantort trustf filing under Optional The grantor Form 1099F FilingN Method 1 (see Regulations section1 1.671-4(0)2)0 (A) For this type of account: 8. Disregarded entity not ownedt by an The owner individual 9.Avalidt trust, estate, orp pensiont trust Legalentity* 10. Corporation orl LLCE electing corporates status onF Form8 8832 or Form 2553 11.A Association, club, religious, charitable, educational, or other tax- exempt organization 12. Partnershipo orn multi-member LLC The partnership 13. Abroker orr registered nominee The broker or nominee  For this of account: type 14. Account witht the Department of Thep publice entity Agriculturei int ther name ofa apublic entity (such as as state orlocal government, school district, or prison) thatr receives agricultural program payments 15. Grantori trustf filingu undert theF Form Thet trust 1041 Filing Methodo ort the Optional Form 1099F Fling Method2(see Regulations section 1.671-40)2)0(B) must bef furnished.  Give name and  certification before signingt thet form. cross outi item 2 oft the certification.  'List first and circle the name oft the person whoser number yout furnish. Ifonly one person on aj joint account has an SSN, that person's number 2Circlet the minor'sr name andf furnisht the minor's SSN. Your must show youri individual name andy your may also enter your business or DBAI name ont the" "Business name/disregarded entity" name line. Your may use either your SSN or EIN (if youl have one), but the IRS encourages you to usey your SSN. *Listf first and circle ther name of thet trust, estate, or pension trust. (Do not furnish thel TIN oft the personal representative or trustee unless the legal entityi itselfi is not designated int the account title.) Also see Special *Note: Theg grantor also must provide al Form W-91 tot trustee oft trust. Note: Ifr nor name is circled when more than name number will be considered to bet that oft thet firstr name listed. Identity theft occurs whens someone uses your personal information such as yourr name, SSN, or other identifyingi information, without your permission, to commit fraud or other crimes. An identity thief may use  payments (under section 529), ABLE accounts (under section 529A), rules for partnerships, earlier.  one isl listed, the  What Name and Number To Give the Requester Secure Your Tax Records From Identity Theft account) other than ana account combinedf funds, thef firsti individuald on your SSNt to geta a job or may file a taxi retum using your SSN tor receive  Give name and SSN of: Thei individual Thea actuald owner oft thes account or,ift the account' Eachh holder of thea account The minor  arefund. Tor reduce yourr risk: Protect your SSN, Ensurey youre employer is protecting your SSN, and Be careful when choosing at tax preparer. Ify yourt tax records are affected! printed ont thel IRS notice or letter. at1 1-800-908-4490 or submit Form 14039.  theft andy byi identity your receivea  notice from thel IRS, respond right awayt to ther name and phone number Ify yourt tax records are not currently affected by identity theft but think you are atr risk due to a lost or stolen purse or wallet, questionable you credit card activity or credit report, contact the IRS Identity Theft Hotline For more information, see Pub. 5027, Identity" Theft Information for Victims ofi identity theft who are experiencing economic! harm ora systemic problem, or ares seeking! helpi in resolving tax problems that have not been resolved1 through normal channels, may be eligible for Taxpayer Advocate Service (TAS) assistance. You canr reach TAS by calingt the TAS toll-free case intake line at 1-877-777-4778 or1 TTY/TDD Protect yourself from suspicious emails or phishing schemes. Phishingi is the creation and use ofe email and websites mimic legitimate business emails and websites. The most common act iss sending an emailt toa a user falsely claimingt to be an established legitimate enterprisei in an attempt tos scamt the user into surrendering privatei information that willl be used fori identityt theft.  Taxpayers.  Give name and EIN of:  1-800-829-4059.  Thec corporation Thec organization  designed to    Form W-9( (Rev. 10-2018)  Page 6  Thel IRS does noti initiate contacts with taxpayers via emails. Also, the Privacy Act Notice  IRS does not request personal detailed information through email or ask taxpayers fort the PIN numbers, passwords, or similar secret access information for their credit card, bank, or other financial accounts. Ify your receive anu unsolicited email claiming to bef from the IRS, forwardt this message top phishing@irs.gov. Your may also report misuse oft thel IRS name, logo, or other IRS propertyt to the Treasury! Inspector General for" Tax Administration (TIGTA) at 1-800-366-4484. You can forward suspicious emails tot the Federal" Trade Commission at spam@uce.gov or report them at www.f fc.govicomplaint. You can Ify you! havel beent the victim ofi identityt theft, see www.ldentilyThef.goy Visit wwwrgowldenuylher tol learn more abouti identity theft and  Section 6109 oft thel Interal Revenue Coder requires yout top provide your correct TIN to persons (including federal agencies) who are requiredt to filei information returns with the IRS tor report interest, dividends, or certain other income paid toy you; mortgagei interest you paid; the acquisition or abandonment ofs securedp property; the cancellation of debt; or contributions your madet to an IRA, Archer MSA, orl HSA. The person collecting this form uses thei information on the form tof file information returns with the IRS, reporting the above information. Justice for civil and criminal litigation and to cities, states, thel District of Columbia, and U.S. commonwealths and possessions for usei in administering their laws." Thei information also may be disclosed to other countries under at treaty, tof federal and state agencies to enforce civil and criminal laws, ort tot federal law enforcement andi intelligence agencies to combati terrorism. Your must provide your TIN whether or not you are required to file at tax return. Under section 3406, payers must generally withhold a percentage oft taxablei interest, dividend, and certain other payments to a payee who does not give a TIN tot the payer. Certain penalties may also applyf for providing false ori fraudulent  contact the FTC aty www. ftc.govlidtheft or 877-IDTHEFT (877-438-4338). Routine uses oft thisi information include givingit it tot the Department of  and Pub. 5027. how tor reducey your risk.  information.    CITY OF FLATONIA Agenda Summary Form  Agenda #  Title:  DA8.1.2023.2 Consider and take appropriate action on approving TML health  benefits changes for employees.  Summary:  Consider and take appropriate action on approving TML health benefits for employees.  Option(s):  Imove to approve TML health benefits changes for employees.  If you are opposed to not 2nd or make any motion. If a motion is not made, the  item is dead.  Sears:  Seale:  Kocian: Mayor Geesaman  Cockrell:  Mayor Pro Tem Eversole:  "Negative" motions are generally not permitted. To dispose of a business item, the motion should be phrased as a positive action to take, and then, if the group desires not to take this action, the motion should be voted down. The exception to this rule is when a governing body is asked to take action on a request and wishes to create a record as to why the denial is justified.    TX Health BENERITS POOL  May 25, 2023 City of Flatonia POI Box 329 Flatonia, TX 78941 Dear Tamela Louvier,  Thank you for your partnership with the Pool this year. We have some important news to share with you. We are Why are we changing our name? The Pool was started over 40 years ago to help municipalities find comprehensive coverage at an affordable rate. Over these 40 years, the Pool has expanded to offer coverage to other political subdivisions and government agencies, not just municipalities. As our mission grew, our name didn't fully reflect that, and we recognized the need to change our name to encompass all the Texas public employees we: serve. TXI Health Benefits Pool is still governed by the same Board of Directors, led by current and former public officials who look out for the best interests of our member groups. You will work with the same staff members who have supported you until now. Most importantly: you will continue tol have the same protections that the Pool has provided you, your employees, and their families for many years. As we make this name change, we are recommitting to our 44-year-long promise to provide quality healthcare benefits at an exceptional value for our nearly 50,000 members.  changing our name to Texas Health Benefits Pool (TX Health Benefits Pool).  We are changing our name not our purpose.  Benefit Changes for the Upcoming Plan Year as inpatient admissions, may be subject to prior authorization.  Mental Health Parity- - Inc compliance with the federal Mental Health Parity law, TML Health will now offerr mental/ behavioral health and substançe abuse coverage with no limits on the number oft treatments. Certain treatments, such Deer Oaks EAP and Wondr Health - Effective 10/01/23, Deer Oaks EAP, and Wondr Health will no longer be offered. After careful consideration, the Board determined that the cost ofthese programs far outweighed the benefits There are also some booklet updates for benefit and eligibility that we will communicate to you in a webinar in the coming weeks. Please be on1 thel lookout for as save the date andi invite to attend the webinar which willi include details  to the Pool and our members. Utilization oft these programs was very low.  for these important updates. Plan Options  There are plan options we can share with you to help reduce the impact of the projected rate increase you have received, please reach out to your Account Executive, Heather VonGonten at 512-719-6519 for assistance. They will be able to consult with you on reviewing the healthcare options available for you which can fit your budget. Also, if iti is available in your area, they can also talk to you about the savings that can be achieved by looking at an HMO option or how consumer spending account products, such as FSA, DCA, HRA, or HSA may be able to help your  employees save on their out-of-pocket costs.  11    Open Enrollment  Weo offer several ways toi manage open enrollment, including Employee Self-Service options. So,i if you want to allow your employees to make their elections on their own, then make sure you indicate that option on your renewal. All you need to do is check the box for Employee Self Service. As ar reminder, if you do not give your employees this Don't forget that we also allow all members to call Member Services to enroll by phone. This is an easy and convenient option for your employees that do not have computers. We provide a follow up email with confirmation oft their elections, and also provide you with a summary so that you can update your payroll deductions, ifa applicable. To ensure your benefits are: set upi int time for your open enrollment period, we need to have your benefits decision at least 90 days prior to your anniversary date. Thus, ifwe do not receive your decision by the renewal deadline, this  option, you as the Benefit Coordinator will enter their elections online.  Renewal Timeline  could interrupt your employee'sabiliy to access healthcare.  How to Renew  Ify you need assistançe completing your renewal, that's where your Account Executive, Heather VonGonten comes in. They will be reaching out to you shortly to answer any of your questions regarding the renewal timeline and to helpyouaccurately designate your elections. For faster processing, please return the completed, signed form by email  to eM.yencomergmmbeg as soon as possible, but no later than 07/01/2023.  Our Partnership  Many of youl have been ongstanding members ofthe Pool and we sincerely thank you for your loyalty. As we move into this next chapter with our new name, we look forward to our continued partnership into the future. On behalf oft the Trustees and the entire TX Health Benefits Pool, thank you for trusting us with your employees' healthcare needs. We look forward to serving you, your employees, and your retirees during this new plan year.  Respeetfully, Aoff Executive Director FLar  21 33        CITY OF FLATONIA Agenda Summary Form  Agenda #  Title:  DA8.1.2023.3 Consider and take appropriate action on the First Quarter of 2023  Hotel Occupancy Tax Expenditure Reports from Flatonia Chamber of Commerce, Special Projects, and EA Arnim Archives and Museum.  Summary:  Consider and take appropriate action on the First Quarter of 2023 Hotel Occupancy Tax Expenditure Reports from Flatonia Chamber of Commerce, Special Projects, and EA  Arnim Archives and Museum.  Option(s):  Imove to approve the First Quarter of2023 Hotel Occupancy Tax Expenditure Reports from Flatonia Chamber of Commerce, Special Projects, and EA Arnim I Ify you are opposed to not 2nd or make any motion. If a motion is not made, the  Archives and Museum. item is dead.  Sears:  Seale:  Kocian: Mayor Geesaman  Cockrell:  Mayor Pro Tem Eversole:  "Negative" motions are generally not permitted. To dispose of a business item, the motion should be phrased as a positive action to take, and then, if the group desires not to take this action, the motion should be voted down. The exception to this rule is when a governing body is asked to take action on a request and wishes to create a record as to why the denial is justified.    THE CHAMBER OF COMMERCE OF FLATONIA TEXAS  INCOME STATEMENT - OTA APRIL  JUNE 2023  Apr-Jun2 23  Jan- Jun 23  Ordinary Income/Expense Income OTA Income OTA Interest OTA Revenue Total OTA Income Total Income Gross Profit Expense  1.57 8,438.00 8,439.57 8,439.57 8,439.57  3.95 16,876.00 16,879.95 16,879.95 16,879.95  Chamber of Commerce Office Supplies Member Supplies Payroll Expense Payroll Tax Salaries & Wages Total Payroll Expense Total Chamber Expense CIF Expense Advertisement Total OTA Expense Crawfest Expense Advertisement Total OTA Expense OTA Expense Advertisement Adyerisement-Website Advertisement-ellpoard Computer Services Marketing Supplies Total OTA Expense Total Expense Net Ordinary Income Net Income  0.00 45.00 555.18 6,923.07 7,478.25 7,523.25 0.00 0.00 166.38 166.38 0.00 0.00 500.00 146.22 0.00 646.22 8,335.85 103.72 103.72  22.50 45.00 1,419.73 17,302.83 18,722.56 18,790.06 200.00 200.00 366.38 366.38 334.50 131.46 500.00 146.22 70.95 1,183.13 20,539.57 -3,659.62 -3,659.62  Prepared by: David Urban Bookkeeping Tax Service    E.A. Arnim Archives & Museum of Flatonia 2nd Quarter 2023 HOT Tax Income/Expense Report  Balance Forward City of Flatonia Interest Income  $ 3,736.45 6,563.00 1.89 6,564.89  HOTTAX INCOME IN 2nd QUARTER  TOTALI INCOME  HOT TAXI EXPENSES IN 2nd QUARTER Utilities Electric & Water Telephone & Internet TOTAL Utilities Wages Payroll Tax Office Expenses Security Insurance Advertising and Promotion Balance Forward:  $ 506.02 $ 394.41  900.43 $ 1,551.48 $ 309.06 $ 40.00 $ 240.06 $ 679.00 $ 224.00  TOTAL EXPENSES  $ 3,944.03 $6,357.31    Flatonla Special Projecte P.O. Box1 14 Flatonis, Texas? 79841  7/7/2023 2023 Aprll through June Re: Second Quarter HOTF Funds Total income Expenses Rubin Cedillos City of Flatonia Dennls Olsovsky Fayetle County Record Summer Fun/ Ad Victoria Advocate Matt Balboa  Beginning Balance 10,657.47  Income 3,760.00 3,750.00  Description Ullities/ March Apil May Contract Labor June AdE Bundle Advertising Aprll Rail Fare Door Prizes  Mowing/Cleaning Removing Hanging! Lights  -285.00 -181.31 -172.28 -108.72 -980.00 -795.00 -1,095.00 -109.26 -3,706.57  Total Expenses Endng Balance  10,600.90    CITY OF FLATONIA Agenda Summary Form  Agenda #  Title:  DA8.1.2023.4 Consider and take appropriate action on setting dates for budget  workshops. The deadline for the budget to be completed and submitted  isA August 29, 2023.  Summary:  Proposed dates for the 2023 budget workshops.  Option(s):  Imove to approve the dates  for budget workshops.  If you are opposed to not 2nd or make any motion. If a motion is not made, the  item is dead.  Sears:  Seale:  Kocian: Mayor Geesaman  Cockrell:  Mayor Pro Tem Eversole:  "Negative" motions are generally not permitted. To dispose of a business item, the motion should be phrased as a positive action to take, and then, if the group desires not toi take this action, the motion should be voted down. The exception to this rule is when a governing body is asked to take action on a request and wishes to create a record as to why the denial is justified.    CITY OF FLATONIA Agenda Summary Form  Agenda #  Title:  DA8.1.2023.5 Consider and take appropriate action on the offer to lease for oil and  gase exploration from Rosewood Resources.  Summary:  Consider and take appropriate action on the offer to lease for oil and gas exploration from  Rosewood Resources. Option(s):  Imove to approve the lease for oil and gas exploration from Rosewood  Resources. item is dead.  Ify you are opposed to not 2nd or make any motion. If a motion is not made, the  Sears:  Seale:  Kocian: Mayor Geesaman  Cockrell:  Mayor Pro Tem Eversole:  "Negative" motions are generally not permitted. To dispose of a business item, the motion should be phrased as a positive action to take, and then, if the group desires not to take this action, the motion should be voted down. The exception to this rule is when a governing body is asked to take action ona request and wishes to create a record as to why the denial is justified.    ROSEWOD RESOURCES  May 18, 2023  City ofl Flatonia P.O. Box 329 Flatonia, Texas 78941  Re: Offert to Lease for Oiland Gas Exploration  21.936 acres, M. Muldoon! League #14, A-76 and the W. A. Faires Survey, A-180  Fayette County, Texas  (hereinafter referred to as "SubjectLand")  Dear Sir or Madam:  Please consider this formal offer from Rosewood Resources, Inc. (hereinafter referred to as "Rosewood"), for an oil and gas lease on the mineral interest owned by you, in the! Subject Land, at the following terms:  Primary Term: 3 years Bonus: $600 per net mineral acre (the Bonus") Royalty: 22.5% Lease Form: mutually agreeable  Option to extend for an additional 2 years @ $400 per net mineral acre  Prior to closing, Rosewood shalll have the ongoing right to confirm marketable title to the lands covered by the  Lease.  Rosewood Resources reserves the right to terminate this offer at any point in time.  Wel hope to hear from you regarding this offer.  Best Regards, Shaun Dauis Shawn Davis, RPL (979)702-1289 Shavmmdns@gmailcon  Contract Landman forl Rosewood Resources, Inc.    NOTICE OF CONFIDENTIALITY RIGHTS: IF YOU. ARE. A NATURAL: PERSON, YOU MAY REMOVE OR STRIKE ANY OR ALL OF THE FOLLOWING INFORMATION FROM ANY INSTRUMENT THAT TRANSFERS AN INTEREST IN REAL PROPERTY: BEFORE, ITISI FILED. FORI RECORD: INTHE: PUBLICI RECORDS: YOURS SOCIALSECURITYNUMBER OR YOUR  DRIVER'S, LICENSE NUMBER.  MEMORANDUM OF OIL. AND GAS LEASE  STATE OFTEXAS COUNTY OF FAYETTE  S S S  KNOW ALL MEN BY THE: PRESENTS:  Be it remembered that made effective as of the 18a day of May, 2023, an Oil, Gas and Mineral Lease (the "Lease") was made and entered into between City of Flatonia hereinafter referred to as "LESSOR", whose address is P.O. Box 329, Flatonia, Texas 78941, and Rosewood Resources, Inc., al Delaware corporation hereinafter referred to as "LESSEE", whose address is 2101 Cedar Springs Rd., Ste. 1500,1 Dallas, TX75201. Under the terms of thel Lease, Lessors granted, leased and let exclusively unto Lessee fort the purpose of exploring, drilling, operating for, producing and owning oil, gas and their respective constituent products, together with the right to make surveys, lay pipelines, build tanks and roads and other structures thereon necessary or useful inl Lessee's operations in exploring, drilling for, producing, treating, storing and transporting said products from the land leased thereunder, those certain lands oft thel Lessors situatedi inl Fayette County, 21.936 acres ofl land, more or less, being a part of the M. Muldoon League #14, Abstract 76, and the W.. A. Faires Survey, Abstract Tract1 1-1 17,840 Square Feet ofl land, more orl less, being aj part of thel M. Muldoon League #14, Abstract 76, Fayette County, Texas, being more] particularly described in that certain' Warranty Deed dated November 18, 1964 froml F.X. Brunner and Annette Brunner, husband and wife to City of Flatonia, recordedi in Volume. 365, atl Page 133, Deed Records, Fayette County, Texas. Tract 2-1 10.00: acres ofl land, more orl less, being aj part of the M. Muldoon League #14, Abstract 76, Fayette County, Texas, being more particularly described in that certain' Warranty Deed dated! September 22, 1938 from E. A. Arnim to City ofl Flatonia, recorded Tract 3-1 10.50 acres of land, more or less, being aj part of the M. Muldoon League #14, Abstract 76, Fayette County, Texas, being more particularly described asl First7 Tract and Second" Tracti int that certain' Warrantyl Deed dated) June 10, 1949 from Quinn Braddock, et altol L. A. Wheeler, Mayor of the City of] Flatonia, recordedi in' Volume 234, atl Page 39,1 Deed Records, Fayette County, Texas. Tract 4-2,970 Square Varas ofland, more orl less, being aj part of the' W.A. Faires Survey, Abstract 180, Fayette County, Texas, being more particularly described in that certain Warranty Deed dated October 7, 1925 from E. A. Arnim and Mary A., Johnson to M. Ferau, Mayor of the City of) Flatonia, recorded: in' Volume 127, atl Page 78, Deed Records, Fayette County, Texas. Tract! 5- 0.50 acres of land, more or less, being aj part of the W. A. Faires Survey, Abstract 180, Fayette County, Texas, being more particularly describedi in that certain' Warrantyl Deed dated September 15, 1925 from John Farek and wife, Louise Farek tol M. Fernau, Mayor of the City of Flatonia, recordedi in Volume 127, at Page 79,1 Deed Records, Fayette County, Texas. Including such land, if any, which may underlie roads, rights of way, or easements on or adjoining the above described lands (the' "Leased Unless sooner terminated orl longer kept in force under other provisions thereof, the Lease shall remain in effect forat term oft three (3) years from the date thereof (therein called' "primary term"), with an option to extend said primary term for an additional two (2) years, Executed copies of the Lease are in the possession of Lessors and Lessee at the offices of Lessors and Lessee at their addresses This instrument may be executed either as one instrument or in several partially executed counterparts and the original and all counterparts shall be construed together and shall constitute one instrument. Should less than all of the named Lessors execute this instrument, this instrument shall be binding on those who are signatories. For recordation and all other purposes, the separate signature pages and acknowledgments mayl be affixed to the body of an original instrument without necessity oft recording the entirety ofe each separate IN WITNESS WHEREOF, the parties hereto have executed and made this instrument effective as of the 18+h day of May, 2023 to evidence ofrecordi in the Official Records oft the County Clerk of! Fayette County, Texas, the existence of thel Lease andf for all other purposes.  Texas, comprising 21.936 acres ofl land, more orl less, described as follows:  180, Fayette County, Texas, being more particularly described as the following five (5) tracts:  in Volume 175, at Page 12,1 Deed Records, Fayette County, Texas.  Premises.")  and as long thereafter as operations, as therein defined, are conducted upon said land.  listed first above.  counterpart.    LESSOR: City ofFlatonia  By: Its:  ACKNOWLEDGEMENT  STATE OF TEXAS COUNTY OF.  Thisi instrument was acknowledged before me on this  day of  2023,b by.  of the City ofI Flatonia.  Notary Public, State of Texas    STRIKE ANY OF THE FOLLOWING INFORMATION FROM THIS INSTRUMENT BEFORE IT IS FILED FOR RECORD IN PUBLIC RECORDS: YOUR: SOCIALSECURITYNUMBER OR YOUR: DRIVER'S LICENSE THISLEASE is madc and entercdi into tol be effective on the 18th day of May, 2023, deemed the Effective Date, between City of Flatonia, whose address is P.O. Box 329, Flatonia, Texas 78941, hereinafter referred to as SSOR" and Rosewood Resources, Inc, a Delaware corporation 1.1 Inc considcration ofac cash bonusi inl hand paida and the covenants hercin contained, Jassorhercby! grants,l leascsand1 lets exclusivclyt tol Issec the followingdescmbed 21.936 acres of land, more or less, being a part of the M. Muldoon League #14, Abstract' 76, and the W. A. Faires Survey, Abstract 180, Fayette County, Texas, being more particularly described as the following five (5) tracts: Tract1-17,840: Square Feetofland, more orl less, beinga aj part of the M. Muldoon League #14, Abstract' 76, Fayette County, Texas, being more particularly described in that certain' Warranty Deed dated November 18, 1964 from F. X. Brunner and Annette Brunner, husband and wife to City of Flatonia, recorded in Volume 365, at Page 133, Deed Records, Fayette Tract2-10.00: acres ofl land, more or less, being aj part of the M. Muldoon! League #14, Abstract' 76, Fayette County, Texas, being more particularly described in that certain Warranty Deed dated September 22, 1938 from E. A. Arnim to City of Tract3-1 10.50 acres ofl land, more or less, being aj part of the M. Muldoon League #14, Abstract' 76, Fayette County,Texas, being more particularly described as First' Tract and Second' Tracti in that certain Warranty Deed dated June 10, 1949 from Quinn Braddock, eta alt tol L. A. Wheeler, Mayor of the City ofl Flatonia, recorded in' Volume 234, at Page 39,1 Deed Records, Tract 4-2 2,970 Square Varas of land, more or less, being a part of the' W. A. Faires Survey, Abstract 180, Fayette County, Texas, being more particularly described in that certain' Warranty Deed dated October 7, 1925 from E.. A. Arnim and Mary A.Johnson tol M. Fernau, Mayor oft the City ofl Flatonia, recordedi in' Volume 127, at Page 78,1 Deed Records, Fayette County, Tract 5 - 0.50 acres of land, more or less, being aj part of the W. A. Faires Survey, Abstract 180, Fayette County, Texas, being more particularly described in that certain Warranty Deed dated September 15, 1925 from John Farek and wife, Louise Farek to M. Fernau, Mayor of the City of Flatonia, recorded in Volume 127, at Page 79, Deed Records, Fayette int thec county ofl Fayette, State ofTexas, containing 21.936 gross acres, morc orl less, (including anyi interests therein whichl Lessor may! hercafter: acquirc byr reversion, prescmptions orc otherwise), fort thep purpose exploring for, developing, producingand markctingoila andg gas, alongwitha alll hydrocarbon: and nonhydrocarbon substances produced in association thercwith. The term" "gas" as used hercini included hclium, carbon dioxide and other commercial gascs, as well: as hydrocarbon gases.. All other mincrals are reservedt to thel Lessor) hercin. Ina addition tot the: above descnbed leased premises, this leasc: also covers accretions and: any small strips orp parccls of land now or! hercafter ownedb by Lessor which arc contiguous or adjacent to the above described leased premiscs, and, in consideration of thc aforementioned cash bonus, Lessor agrecs to exccute: ati Lssce's request any additional or supplemental instruments fora a morc complete or accurate description oft the land so covered. For the purpose of determining the amount of any shutin royalties hercunder, the number of gross acres above specificd shall bec deemed correct, whether actually 2 This lcasc, whichi isa" "paid-up" lcase requiring nor rentals, shall bei in force fora primary term of three (3) years from the date hereof, and fora asl longt thereafter as oil org gas or other substances covered hercby are produced inj payingo quantitics from thel leased premiscs or froml lands pooled therewith ort this lease is otherwise 3.1 Royaltics on oil, gas and other substances produced and saved hercunder shall be paid by Lessce tol lessor as follows: (a) For oil and other liquid hydrocarbons separated: at Lessce's separator facilities, the royalty shall be 22.5% ofs such production, to be delivered at Lessce's option tol Jessor at the wellhcad or tol Lessor's credit at the oil purchaser's transportation facilitics, providedt that Lessees shalll havet the continuing nght top purchases suchp production att the wellhead marketp pricet then prevailingi int thes same ficld (orift therci ist nosuch price then prevailingi in thes same ficld,t theni in ther nearest fieldi in which therci iss suchaprevalhingpic) forp production of similar grade and gravity; (b) for gas (including casinghead gas) and all other substances covered hereby, the royalty shall be 22.5% of the proceeds realized by Jessee from thes salet thercof, lcss proportionat part ofad valorem taxes andp production: severance, ord otherc cxcisc taxcs and thec costsi incurredb bylesseci inc delivering, processing or otherwise marketings such gas or other substances, provided that Jessec shall have the continuing right top purchase such production at the prevailing wellhead market price paid for production ofs similar qualityi in the same: field (ori if therci 1S1 no such pricct then prevailingi int thes same ficld, theni in the nearest fieldi in whicht therc is such a prevailing price) pursuant to comparable purchasc contracts enteredi into on thc same or nearest preceding date ast the date on which) Lessce commences its purchases hercunder, and (ifatti thec endc oft the paimary term or any timet thereafter onc or morc wells ont thel leasedj premises orl lands pooledt therewith are capable of producing oil or gas or other substances covered hercby inp paying quantitics, but such well or wells arc cithers shuti inc or production therefrom is not  NUMBER.  PAID UP OIL. AND GAS LEASE  hercinafter referred toa as" "LESSEE", whose address is 2101 CEDARS SPRINGS RD.,STE. 1500, DALLAS,TX75201.  land, hercinafter calledl leased premises:  County, Texas.  Flatonia, recorded in Volume 175, at Page 12, Deed Records, Fayette County, Texas.  Fayette County, Texas.  Texas.  County, Texas.  more orl less.  maintainedi inc effcctp pursuant tot the provisions hercof.    bcing sold by! Lesser, such well orv wells shall nevertheless bec deemedt tol bep producingi inp paying quantitics for the purpose ofr maintaining thisl lease. Ifforar period of 90 consccutive days such well or wells ares shut in or production therefrom 1S not being sold by Lssce, then Lessees shall pay shut-in royalty oft twenty five dollars ($25.00) per: acret then covered byt this lease, suchy payment tol ber made tol Lssor ort tol Jessor's crediti int thc depository designated below, on orl before the end ofsaid 90-day period andt thercafter on orb before cach anniversary of the end ofs said 90-day period whilc the well or wells are shut in orp production therefromi is not being sold byl Lessec: provided thati ifthis leasei is otherwise beingr maintainedby operations, ori if productioni is beings sold bylessee from: another well orv wells ont the leased premises orl lands pooled therewith, nos shut-in royalty shall be duc until the end of the 90-day period next following cessation ofs such opcrations or production. 4. Alls shut-in royalty payments under this lease shall bep paid or tendered tol Jessor or tol Lessor's credit in DIRECT TOI LESSOR. AT ABOVE. ADDRESS ori its successors, whichs shalll bel Lessor's depository agent for recciving payments regardless ofc changes in thec ownerships ofs said land. Allp payments ort tenders may be made inc currency, orb by check orb by draft and such payments or tenders tol Lessor ort to the depository by deposit in the U.S. Mails inas stampede envelope addressed tot the depository or to the Lessor at the last address known to lessce shall constitute proper payment. Ift the depository should liquidate or be succeeded by another instirution, or for any reason fail or refusc to accept payment hercunder, Lessor shall, at] Lessee's request, deliver to lessce a1 proper recordable instrument naming 5. If Lessce drills a well whichi isi incapable ofp producingi inj paying. quantities (hercinafter called' 'dry! hole") ont thel leased premises orl lands pooled thercwith, orifall production (whether or noti inp paying quantitics) permanently ceases from any cause, then in the event this lease is not otherwise bcing maintained in force it shall nevertheless remaini inf force ifl Lessec commences operations for reworking an existing well orf for drilling: ana additional well or for otherwise obtaining or restoring production on thel leased premises orl lands pooled therewith within 90 days after complction of operations ons such dry hole or within 900 days afters such cessation of allp production. Ifat the end oft thep primary term, or at any time thercafter, this) leasei is not otherwise being maintained in force but lesscei ist then engaged in drilling, reworking or any other operations reasonably calculated to obtain or restore production therefrom, this lcase shall remain inf force sol long: as any one or morc ofs such operations are prosccuted with no cessation ofr more than 90 consecutive days, andi if any such operations result in the production of oil or gas or other substances covered hereby, asl long thercafter as therci is productioni inp paying quantitics from thel leascd premises or lands pooled therewith. After completion ofa well capable ofproducingi inp paying quantities hercunder, Lesscc: shall drill such additional wells ont thel leased premises orl lands pooled therewith asa a reasonably prudent operator would drill under thes same ors similar circumstances to (a) develop the leased premiscs as tot formations then capable ofp producing inp paying quantitics ont the leased premises or lands pooledt therewith, or (b) to protcct the leased premises from uncompensated drainage by any well or wells located on other lands not pooled 6.(A) Iessee, ati its option, isl hercby given the right and power to pool or combine the leased premiscs, or any portion thercof, as to oil and gas, or either of them, with: any otherl land covered by this lease, or with any other contiguous land, lease orl lcases to the extent stipulated herein.  Jessee's failuret tor properly pay shuti inr royalty shall renderl Lesscel liable fort thez amount duc, but shall not operatet tot terminate thisl lease.  anotheri institution: as depository: agent tor receive payments.  therewith. Theres shall ber noc covenant to drill exploratory wells ora any additional wells excepta as expressly provided) hercin.  @ Units pooled for oill hercunder mayi include any: amount of acreage up to, but not exceeding  (a) 8Dacres for cach oily well thatisn nota aHlorizontal Drainhole' Well: as defined by! Railroad Commission ofTexas Statewidel Rulc 86(4) (a "Horizontal  Drainhole Well); or  (b) ifthe oilv wellisa allorizontal Drainhole Well, 640 acres plus a maximum: acrcage tolerance of 109. () Units pooled for gas hercunder may includca any amount ofa acreage upt to, butr not excceding:  (a) 640a acres, plus a maximum: acrcaget tolerance of 10%0, around cach gas well thati is not alorizontal Drainhole' Well; or  (b) lftheg gas welli isa llorizontal Drainhole' Well, the greater of (s) 640 açres plus a maximum acreage tolerance of1 10%, or 0) 40: acres plus an (m) Ina any casc, ana arcal larger (but nots smaller) than thosc described in @ or (i) above, (ifp permitted by the" Texas Railroad Commissioni in accordance withi its rules; or () in order toc conform tot the well spacing or density pattem oft thel Railroad Commission of Texas under the Statewide or Spccial Ficld Rules applicable to the rescrvoir or ficld interval in question. The terms "oil well" and "gas well" mean the well classification given to the Lssce under the provisions hercof may pool or combine acrcage covered by this lcase or any portion thercof as above provided as to oili in any onc or more: strata and as tog gas in any onc orr morc strata. The units formed by pooling: as to any stratum ors strata need not conform ins size ora arca with the units into which thel leasci is pooledi in any others stratum ors strata and oil unitsr need not conform to gas units. The poolingi in onc orr more instances shall not exhaust the rights oft thel lessce top poolt this lcasc or portions thercof into other units, and pooling fora vertical well docs not preclude separate pooling for Honzontall Drainhole Wells. A unit formed containing more than ones stratum may ber modificd: ata any time to exclude one or more: strata, sol longas (C) Lessces shall file for record int the appropriate records oft the countyi ins which the leased premises arel located ani instrument describing and designating the pooled unit and upons such recordation the unit willl bec effective as toa all partics hercto, their heirs successors and assigns irrespective ofv whether or not (D) Lesseer may ati its discretion exercisc its pooling option! before or after commencing operations or completing: an oilc or gas well ont thel leased premises and the pooled unit may include but itis not required toi include land orl leases upon which a well capable of producing oil or gas inj paying quantitics has therctofore been complcted or upony which operations for the drilling ofav well forc oil or gas havet therctoforel been commenced. Ap pooled unit established hercunders shall bc effective for all purposcs cven thought there may ber mincral, royalty orl leascholdi interestsi int thel landsi includedi int theu unit whicha arc not (E) Ifany pooled unit formed hercunder contains less than the maximum number of acres specificd above, lssce may, at any time, whether before or after production is obtained, cnlarge the pooled unit by adding additional acreage, but the enlarged unit shall in noe event exceed the: applicable size sct forth  additional amount of acreage equalt to 40 acres for cach 500 fcet of! horizontal displaccment oft the welll bore between the first and  last" Take Points.  applicable welll by the Railroad Commission ofTexas.  (B)  therci isr no production ofu unitized: substances from such excluded stratum or strata at the time ofs such modification. the uniti isl likewise cffective: as toa allc other owners ofs surface, mineral, royalty orc other rightsi inl landi includedi ins such unit.  effectively pooled or unitized.    above. Ifan existing uniti is enlarged or otherwise amended, the amendment willl bec effective ont the first day oft the first month followingi its recordation Forp purposes ofr maintaining this lease in force: and effect, operations or production anywhere ona pooled unit or units including: any part of the leased premiscs shalll bc considered tol bc opcrations or production on thisl leasc. For the purpose of computing the royaltics to which owners of royalties and payments out of production ande each oft them shalll be entitled onp production ofc oil andg gas, or cither oft them, fromt thet pooled unit, there shalll bca allocated tot thel land covered by this lease andi included ins said unit (or to each: separate tract within the uniti ifthisl lease covers separate tracts withint the unit)a pro rata portion ofti the oil and gas, or cither oft them, produced from the pooled unit after deducting that used for operations ont the pooled unit. Theres shall bea allocated tot the acrcage covered by this leasc: andi includedi int the pooled unit (or to cachs separate tract within theu uniti ifthisi icase covers separate tracts withint the unit)t that pro rata portion oft the oil and gas, or cither oft them, produced from the pooled unit which ther number ofs surface acres çovered by thisl lease (ori inc cachs such separatc tract) andi includedi in the pooled unit bears tot thet total number ofs surface acres included int the pooled unit. (G) By filing of record int the: applicable countya a declaration oft termination, lessce may terminate any pooled unit created hercunder: at any time, sol longa as at () Ifthisl lcasc now orh hercafter coverss separate tracts, no pooling ofr royaltyi interest ast between any separatet tracts isi intended ors shalll bei implied: merely from thci inclusion ofs such separate tracts withint thisl lease but Jessce: shall nevertheless have the right to poola as provided! herein with conscquent allocation of production: as provided: above." Thet term' "separate tract"r means any tract with royalty ownershipe differing, now or! hercafter, cither ast top partics ora amounts, For the purposc ofc computing the royaltyt to which owners ofr royalties and payments out of production arc entitled onj production of oil or gas from a Cross Unit Well, there shall be: allocated to cach pooled unit containing' Takc Pointsi ina Cross Unit Well aj pro rata portion oft the production from the Cross Unit Well, which pro rata portioni is equalt to thet total production from the Cross Unit Well multipled by af fraction, ther numerator of whichi 1s the Productive Drainhole Length in thea applicable pooled unit and thec denominator ofv whichi is thet total Productive Dminhole Iength in the Cross Unit Well. Thep portion oft the production from aCross Unit' Well: allocated toap pooled unit containing this lease: shall be further allocated to thc owners ofr royaltics and payments out of production under this lease as provided fori in paragraph Fhereof. Operations on or production from a Cross Unit Well shall be  int the applicable county, unless the: amendment: states: a different effective date.  ()  such time therei is no productioni inp paying quantitics froms suchp pooled unit.  from that ofa any other part oft thel leased premiscs. Pooling! hercunder shall not constitute: a cross-conveyance ofi interests. Ina addition tot the creation of pooled units as provided fori in this provision, Lssce may, ati its option, drill Cross Unit Wells.  ( ()  deemed tol bec operations ond orT production ont this leasc. leases noti includedi ins such pooled unit.  (K) Certain Defined" Terms:  "Cross Unit Wel" mcans al llorizontal Drainhok Well with' Take Pointsi in: (x) two orr more pooled units, or () aj pooled unit and onc or more "Takel Point" means any point alongal horizontal wellbore where oil or gas can be produced int the wellborc from the reservoir or ficldi interval in (in) "Productive Drainhoke Length" means the horizontal length of the wellbore path that begins at the first Take Point and runs along the actually surveycd path oft the wellboret tot the last Take Point. This length will be determinedl by an' "as drilled" survey performed after the cross-unit welli is 7. IfLessor owns less thant the fulli mineral cstate in all or any part oft thel leased premises, thc royaltics: ands shut-inr royaltics payable! hercunder fora any well ona any part oft thel leased premises orl lands pooled therewith: shall be reduced to thep proportion thatl Lessor's interest in such part oft the leased premises bears tot the fullr mineral 8. Thei interest ofc citherl Lessor orl Lessee hercunder may bea assigned, devised or otherwise transferred inv whole or inp part, by arca and/orb by depth or zone, and the rights and obligations oft the partics hereunder shall extendt tot their respective heirs, devisces, executors, administrators, successors and: assigns. No changei inl Lessor's ownership shall have the effect of reducing the rights or enlarging the obligations oflessee hercunder, and no change in ownership shall bel binding on) Jessec until 60d days after) Lesseel hasl been fumishedt the original ord certified ord duly: authenticated copics oft the documents establishings sucho change ofo ownership tot thes satisfaction oflessce or until Iessor hass satisfied the notification requirements containedi inl lessce's usual form of division order. Int the event ofthed death of any person cntitled tos shut-in royaltics hercunder, lessce may pay ort tender such shut-in royaltics to the credit of decedent or decedent's estate int the depository designated above. Ifat any time two or more persons arc entitled tos shur-in royaltics hercunder, Lssee may pay or tender such shut-in royaltics tos such persons ort to their credit in the depository, citheri jointly or separately in proportion to thei interest which cach owns. Iflessce transfers itsi interest hercunder in whole or in part Lessec shall be relieved ofa allo obligationst thercafter arising with respectt tot thet transferredi interest, and failures oft thet transfercc tos satisfy such obligations with respect tot the transferred interest shall not affect the rights ofl Lssce with respect toa any interest nots so transferred. Iflesseet transfers a full or undividedi interest in all or any portion of the arca covered byt thisl lease, the obligationt top pay ort tenders shut-inr royaltics! hercunders shall bec dividedbctween! Lessee andt thet transfercei in proportion! jot the neta acrcage 9. Lesscer may, ata anyt time and from time tot time, deliver tol Lessor or file ofr recorday written release oft thisl lease as toaf full oru undividedi interest ina allo or any portion oft the area covered byt thisl leasc or any depths or zones thereunder, ands shallt thcrcupon be relieved of all obligations thercafter arisingy with respect tot thei interest so relcased. IFI Lssce releases all or an undividedi interest in less than all oft the area covered hercby, lessec's obligation to pay or tender shur-in royaltics shall be 10. Inc exploring for, developing, producing: andr markcting oil, gas and other substances covered hercby ont thel leased premises orl lands pooled or unitized therewith, inp primary and/orc cnhanced recovery, lassce shalll have ther right ofi ingress and egress along with the rightt to conduct such opcrations ont thel lcased premises as may ber reasonably necessary fors such purposes, including but not limited tog geophysiçal opcrations, the drilling of wells, and the construction: and use ofr roads, canals, pipclines, tanks, water wells, disposal wells, injcction wells, pits, clectric and telephoncl lines, powers stations, and other facilitics deemed necessary byl Lessce to discover, producc, store, treat and/ort transport production. Lessce: may usei ins such operations, frec ofc cost, any oil, gas, water: and/or other substances produced ont thel leased premises, except water froml Lessor's wells or ponds. Inc exploring, developing, producing or marketing from thel leasedp premises orl lands pooledt therewith, the: ancillary rights granted! hercin shall apply (a) tot the entire leased premises described inl Paragraph 1 above, norwithstanding any partial release or other partial termination of thisl lease; and (b) tos anys otherl landsi inv whichl Issor now orl hercafter has authonty to grant such nghts int they vicinitys oft thel leasedp premises orl lands pooled therewith. When requested by lssori in writing, Lessce shall bury its pipclines below ordinary plow depth on cultivated lands. No well: shall bel located less than 200 fect from  question. drilled: and completed.  estatci ins such part oft thel leased premises.  interest in thisl lcase then) held by cach.  proportionately reduced in accordance with the neta acreagei interest retained! hercunder.    any house orl barn now on the leased premises or other lands used by Lessee hercunder, without Lessors consent, and lessce shall pay for damage caused byi its operations tol buildings and otheri improvements now on the leasedp premiscs or such other lands, andt to commercial timber and growing crops thercon. Lessec shall have the right at any time tor remove its fistures, equipment and materials, including well casing, from the leased premises or such other lands duringt the term oft this 11. Lessec's obligations undert this lease, whether express ori implied, shalll bes subject toa alla applicable laws, rulcs, regulations: and orders ofa any govemmental authority havingijurisdictioni includingr restrictions ont the drillinga andy production ofwells, andt the priccofoil, gas ando other substances coveredhercby." Whend drlling, reworking, production or other operations are prevented or dclayed by such laws, rules, regulations or orders, orb by inability to obtain necessary permits, cquipment, services, material, water, clectricity, fucl, access or easements, or by firc, flood, adverse weather conditions, war, sabotage, rebellion, insurrection, not, strike orl labor disputes, or byi inability to obtain a satisfactory market for production or failure of purchasers or carriers to take or transport such production, or by any other causc not reasonably within Lessee's control, thisl lease shall nott terinate because of such prevention or delay, and at Lessces option, the period ofs such prevention or delay shall bea addedt tot thet term hereof. Lessee shall notl bel liable for breach of any express or implied covenants oft this leasc when drilling, production or other opcrations 12. Nol litigation: shall bc initiated by Lssory with respect to any breach or default by! Lesscel hercunder, forap period of atl least 90 days after Lessork has givenl Lessee wntten notice fullys describing theb breach or default, andt thend only iflessee fails tot remedyt thel breach ord default, within such period. Int the event ther matteri isl litigated and therc isa finalj judicial determination that al breach or default! has occurred, this leascs shali not bef forfeited ord cancelled in whole ori inp part unless lsscei isg givena 13. Lessor hercby warrants and agrees to defend title conveyed tol Lessce hercunder, and agrees that Lessee atl Lessee's option may pay and discharge any taxes, mortgages orl liens existing, levied ora assessed on or against the leased premises. Iflessee cxercises such option, Iassce shall bes subrogated to the rights oft the party to whom payment 15 made and, in: addition toi its other rights, may reimbursci itself out ofa any royaltics or shut-in royaltics otherwisc payable tol laessork hercunder. In the event Lesscei 1S made aware of any claim inconsistent with Lessor's title, Jesscer may suspend the payment of royalties and shut-in royaltics hercunder, without 14. Should ther right ori interest ofl Lesseel hercunder bcc disputed by) lassor, ora any other person, thct time coveredb byt the pendency ofs such disputes shall not bec counted againstl Lessce cithera as affectingt thet term oft thel leasc orf for any other purpose, andl lesscer may suspend ally payments without interest until therci isaf final adjudication 15. Lesseei iss specifically authonzedt to utilize: andt traverse thes sub-surface oft thel leased premises for ail purposes incidental tot the exploration for oila and gas by means ofd dircctionallys drillinga well orv wells tobel bottomedl bencathe otherl lands not ownedb byl Lessor, includingt the rightt toc directionally drill, complete, operate andp produce such well or wells, to conduct any operations whichr may bc necessary, uscfulc or desirablei inc exploring for or producing mincrals thercfrom, top plug or abandons such well or wells and tor remove casinga and other equipment therefrom, whichr rights, ifo commenced duringt the temm oft thisl leasc, shall continue until onel hundred cighty IN WITNESS WHEREOF, this leasci is cxecuted tol bc effective as oft the date first written above, but upon exccution shall be bindings ont thes signatory and the signatory's heirs, devisecs, exccutors, administrators, successors and assigns, whether or nott thisl leasel has bcen executed by ally particsl hercinabove named: asl Lessor. FOR ADDITIONAL PROVISIONS TO THIS LEASE, PLEASE SEE EXHIBIT "A" ATTACHED TO AND MADE A PART OF  leasc orv within a reasonable time thercafter.  ares so prevented, dclayed ori interrupted.  reasonable time: afters said judicial determination tor remedy the breach or default and Lessec failst to doso.  interest, until Lessee has been fumished satisfactory cvidence that such claim has been resolved.  or other determination ofs suçh dispute.  (180) days after cessation oft the use or exercisc thercof.  FOR ALLI PURPOSES. LESSOR: City of Flatonia  By: Its:  ACKNOWLEDGEMENT  STATE OF TEXAS COUNTY OF as_  Thisi instrument was acknowledged before me ont this  day of_  2023,by  of the City of Flatonia.  Notary Public, State of Texas    EXHIBIT "APADDENDUM  ATTACHED TO AND! MADE. Al PART OF OIL, GAS4 ANDI MINERAL LEASE BYAND BETWEEN CITY OF FLATONIA, 1. This ExhibitA Takes Precedence. NOTVITESTANDING ANYTHING CONTAINED HEREINTOTHE CONTRARY, the following provisions shall apply as an exhibit to the foregoing Oil, Gas and Mineral Lease, and shall bei in force and effect as a part ofs said Lease. In the event ofac conflict between the provisions containedi in this Exhibit "A" and the provisions as stated on the printed lease form, 2. Liquids and Gas Only. Notwithstanding: any provision in this Lease to the contrary, iti is hereby agreed between Lessor and Lessee that this Lease covers only oil, gas, and associated hydrocarbons, as well as sulphur, all in liquid, gaseous or vaporous forms or state, which can or may! be produced through the bore ofa well. No other minerals or substançes including iron ore, coal, lignite, bentonite and gravel 3. Additional Property. This lease also covers (a) any and all accretions to the above described lease premises; (b) any and all small or nominal strips or parcels ofl land contiguous ora adjacent to the above described lease premises, and which are owned or claimed by lessor by limitation, prescription, possession, reversion or unrecorded. instrument, or as to which Lessor has preferential right of acquisition; and () any and all lakes, rivers, streams, roads, easements and right of ways now orl hereafter owned or claimed by Lessor which traverse or adjoin any of the above described lease premises. Itis not the intent oft the foregoing provision to effect a lease of any large tracts of land, which 4.Further Acts. Lessor and Lessee acknowledge that for the consideration paid herein, they agree to execute, if applicable, any instruments to clarify the full mineral interest leased, property description and/or acreage content of the lands leased herein. Itis further agreed and understood, if applicable, that the Lessors and their predecessors, ancestors, and/or heirs in title, agree to execute respective agreements necessary to acknowledge, ratify, quitclaim, subordinate and/or clarify the full mineral ownership of the lands leased herein 5. Couaterparts. This instrument may be signed in any number of counterparts, each of which shall be binding on the party or parties so signing regardless of whether all oft the owners joini in the granting of this agreement and the failure of any party named herein as Lessor tos sign this agreement shall not affect its validity as to those whose signatures appear hereon or on a counterpart hereof. For convenience inr recording, the Lessor hereby authorizes the Lessee to detach the signature pages and the acknowledgment pages from any counterpart of 6. Geographic. Pugh Clause. Notwithstanding: anything tot the contrary herein contained, when aj pooled unit or units are created, either by governmental authority or by voluntary action of the parties, or by Lessee pursuant to the terms of this Lease, which include all or a portion of the Leased Premises, drilling operations, payment of shut-in gas royalty or production from the pool, sand, or formation for which such unit or units were created, all as defined by said governmental authority, or bys said voluntary unitization agreement, or by said pooling declaration, shall maintain this Lease in force after the expiration of the primary term, but only as to that portion of the Leased Premises included: in said unit or units, regardless of whether said drilling operations or production are on orf from the Leased Premises. As to any portion or portions of the Leased Premises not included in the geographic boundaries of the pooled unit or units, this Lease shall 7. Shut In Royalty Limitation. Notwithstanding any provision. in this Oil, Gas and Mineral. Lease to the contrary, Lessee cannot hold this lease under the shut-in royalty provision for more than (wo (2) years in the aggregate beyond the primary term of this lease or any 8. Lease. Memorandum. Lessor and Lessee agree that, at Lessee's option, Lessee may decide not to record this Lease in the public records, but may decide to record al Notice of Lease. In the event that the Lease is recorded, this Exhibit. A shall be recorded with it, and 9. Operations. Whenever used in this lease the word "operations" shall mean operations for and any of the following: drilling, testing completion, reworking, re-completing, deepening, plugging back or repairing ofa well in search for or in an endeavor to obtain production ofoil, gas, sulphur or other minerals, excavating: a mine, production of oil, gas, sulphur or other mineral, in paying quantities. 10. Free Royalty. Itis agreed between the Lessor and Lessee that, notwithstanding any language herein to the contrary, all oil, gas or other proceeds accruing to the Lessor under this lease or by state law shall be without deduction, directly or indirectly, for the cost of producing, gathering, storing, separating, treating, dehydrating, compressing, processing, transporting, and marketingt the oil, gas and such  ASI LESSOR, ANDI ROSEWOOD RESOURCES, INC., ASI LESSEE.  the provisions in this Exhibit' "A" shall prevail.  or any other hard minerals shall be covered hereby.  are capable of being separately described, but which are not specifically described as part of the leased premises.  pursuant tot the numerous conveyances transferringi interest in and tot the acreage leased herein.  this Lease, attach them toa a single counterpart: and record them together as as single instrument.  terminate at the end oft the primary term (as defined herein).  extension.  together this Lease and this Exhibit. A shall be considered tol be one document.  other products produced hereunder tot transform the product into marketable form.    11. Depth Severance. At the expiration of the primary term or cessation of continuous development as provided herein, whichever is later, this Lease shall terminate as to all depths and horizons greater than 100 feet below the base of the deepest formation to which a well 12. Horizontal Pooling. If the well is a Horizontal Drainhole Well, then the pooling size will be the greater of (x) 640 acres plus a maximum acreage tolerance of 10%, or () 40: acres plus an additional amount of acreage equal to 40: acres for each 330 feet of horizontal  has been drilled and found tol be capable of productioni inj paying quantities. displacement of the well bore between the first andt thel last" Takel Points. 13. Land Use: (Reference. herein to Lessor also refers to surface owner)  A. Should Lessor or tenants on the leased premises suffer loss of, or damage to, crops, trees, turf, livestock, water wells, fences, roads, other personal property, buildings or otheri improvements, as a result of operations ofLessee under thisl lease, B. Within a reasonable time, Lessee shall fill all pits made by Lessee upon the leased premises, level offa all mounds made by Lessee upon the lease premises, and remove all debris and rubbish placed by Lessee upon the leased premises. Upon cessation of use thereof by Lessee, it will notify Lessor of such cessation and at the option of the Lessee will leave on the premises as part of the property of Lessor all cattle guards, water wells, bridges and roads placed thereon by Lessee, its successors or assigns. An oilfield gate shall be placed at the entrance ontot the lease premises through which the Lessee will have access tot the premises with regard to any well being drilled on thel lease premises orl land pooled therewith. Said oilfield gates shall be kept closed and locked at all times except during times of entrance by Lessee, its agents and parties operating under the Lessee. Lessee agrees to maintain all: roads and paths upon which it travels in: a condition which is as good as or better than the condition of such road or pathway prior tol Lessee's entry upon the above-described tract. Lessee will use its best effort tol build roadsi in al location as tol least affect the surface of thel lease premises. While a drilling rigi is onl location Lessee must posta a 24-hourg guarda ati its point ofe entry tot thel leased premises to prohibite entry to thep property by unauthorized C. The well equipment andl location shall be kept as clean as possible at all times, and roads used by Lessee should be kept ingoods state of repair. IfLessor inspects any meters or any other production equipment Lessori is doing so at Lessor's own D. Notwithstanding the general terms of grant contained. in this lease, the Lessee is not given the right to erect or maintain refining facilities, or any other extraction ort treating facilities ont thel leased premises unless directly related tot the production, treatment, and recovery ofc oil, gas, sulphur, and otherl leased minerals from this lease or froml land pooled therewith. 14. Other Provisions. Neither. Lessee, nor its agent, employees or contractors shalll be permitted to bring firearms, alcohol or dogs or 15. Removal ofl Equipment Alle equipment owned by Lessee must be removed from the leased premises within a reasonable amount of time after the termination of this lease. Under no circumstances should thes same become the property ofl Lessor. 16. Surface Damages. Lessee shall pay tol Lessor surface damages in the amounts set forthl below:  Lessee agrees to pay Lessor or such tenants the actual amount of their said loss or damage.  persons.  risk and Lessor assumes: all liabilities for any damage or loss caused by Lessor's actions.  do any hunting or fishing upon the lease premises.  A. Two' Thousand and! Fivel Hundred! Dollars ($2,500.00) per: acre covered by any Drilling Padp placed, used or occupied by B. One Thousand and No/1001 Dollars ($1,000.00): per: acre otherwise utilized by Lessee, or covered by any roads, access ways, ditches, canals, other rights of way or structures placed or used by Lessee on the Leased Premises.  Lessee. Such Drilling Pads shall not exceed six (6) acres each in area.  17. Pipelines.  A. Lessee may construct pipelines and flowlines as necessary to transport oil, gas and other hydrocarbon and non- hydrocarbon substances produced from the leased premises and/or lands pooled therewith and maintain such easements on and: across the leased premises as necessary to service and maintain them. Lessee agrees to pay Lessor damages in the amount of One Thousand andi No/100. Dollars ($1,000.00) per: acre for all pipelines constructed on the leased premises and damages and right of way acquisition in the amount of One Thousand and No/100 Dollars  ($1,000.00) per acre for all pipelines constructed on the unleased premises.    B. Lessee agrees to bury all pipelines with a cover ofatl least thirty-six (36") inches from thet top oft thep pipe to thes surface oft theg ground and to place allp pipeline mprovements below the surface outside ofl Drilling andl Production Pads. Lessee agrees to' "double ditch" all pipeline trenches. The top soil will be placed to one side and in backfilling the ditch, the 18. Cross Unit Wells. In addition tot the creation of pooled units as provided fori in this lease, Lessee may, at its option, drill Cross Unit Wells. For the purpose of computing the royalty to which owners of royalties and payments out of production are entitled onj production of oil org gas from a Cross Unit Well, there shall be allocated to eachj pooled unit containing Take Points in a Cross Unit Wella aj pro rata portion oft the production from the Cross Unit Well, which pro rata portion is equal to thet total production from the Cross Unit Well multiplied by af fraction, the numerator of which is the Productive Drainhole. Lengthi in the applicable pooled unit and the denominator of which is the total Productive Drainhole. Length in the Cross Unit Well. Thej portion of the production from a Cross Unit Well allocated to a pooled unit containing thisl lease shall be further allocated to the owners of royalties and payments out ofj production under this lease as provided fori in paragraph 6H hereof. Operations on or production from a Cross Unit Well shall be deemed tol be operations on or production on this lease. For the purposes of this agreement, "Cross Unit Well" means a Horizontal Drainhole Well with" Take Points in: () two or more pooled units, or ()ap pooled unit ando one or morel leases noti includedi ins suchp pooled unit," "Takel Point" means any point alongahorizontal: wellbore where oil or gas can be produced in the wellbore from the reservoir or field intervali in question, and" "Productive Drainhole Length" means the horizontal length oft the welbore path that begins at the first" Take Point and runs along the actually surveyed path oft the wellbore to the last Takel Point. This length will be determined by an' "as drilled" survey performed after the cross-unit well is drilled and completed. 19. Option to Extend. Lessee is hereby given the option to extend the primary term of this lease for an additional two (2) year period. This option may be exercised by Lessee at any time during the primary term oft thel lease by payment to the Lessor of $400.00 per net mineral acre. Should this option be exercised as herein provided, then this lease shall be considered for all purposes as having a primary term off five 20. No Surface Operations. NOTWITHSTANDING ANYTHING TO THE CONTRARY HEREIN, LESSEE SHALL NOT CONDUCT ANY SURFACE OPERATIONS OF ANY KIND ON THE SURFACE OF THE LEASED PREMISES (INCLUDING, BUTNOTI LIMITED TO, DRILLING OPERATIONS, CONSTRUCTION OF ROADS, CONSTRUCTION OF PIPELINES, DRILLING OF WATER WELLS, CONSTRUCTION OF ELECTRIC POWER LINES, ETC.), UNLESS  top soil will be replaced ont top of the backfill after the construction.  (5) years.  CONSENT IS GIVEN BYI LESSOR OR THEIR SUCCESSORS OR. ASSIGNS.  LESSOR: City of Flatonia  By: Its: